monopoly over 1993‐2000 except for FYR of Macedonia and Slovakia. That is, banks earned their revenues as if operating under … competition in the later years of the sample period. Large banks in transition countries are found to be operating in a relatively … more competitive environment compared with small banks or, in other words, competition is lower in local markets compared …

countries have opened too quickly to foreign competitors. Importantly, TO without financial openness is unlikely to contribute …