This article examines the performance of cooperative banks in Jammu and Kashmir (J&K) during 2005–2018. We use data envelopment analysis (DEA) methodology to obtain technical and scale efficiency scores for each bank over the years. Income-based approach has been employed while selecting our inputs and outputs. Our results indicate a large asymmetry as far as the performance across different banks is concerned. The dominant source of the technical inefficiency in the cooperative banks is found to be scale related. Further, the results from returns to scale suggest that majority of the cooperative banks in J&K are operating on the zone of decreasing returns to scale.
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