Abstract:
In 2004 Poland entered the EU. This paper investigates whether the Polish
banking industry is prepared for entry by looking specifically at its
comparative efficiency in relation to one of the largest banking sectors in the
EU, that of the UK. A range of efficiency measures is used. The empirical
results reveal a surprising degree of relative efficiency in the Polish banking
industry, no doubt reflecting the substantial economic changes introduced in
Poland since 1989. The results suggest that the Polish banking sector should be
able to survive the new competition that it will face following entry into the
EU.
