ABSTRACT: Most Regional Development Banks (BPD) in Indonesia recorded positive performance throughout the first quarter of 2021 even though the Covid-19 pandemic has not ended. In fact, many banks have recorded double-digit net profit growth. This study aims to determine the level of technical efficiency in Regional Development Banks (BPD) for the 2019-2020 period. The data used in this study is secondary data sourced from the publications of Bank Indonesia and OJK, namely the Balance Sheet and Income Statement. The sampling technique is done by purposive sampling method, namely the technique of determining the sample with certain considerations or criteria. The sample in this study includes 26 BPD throughout Indonesia. The data analysis technique used is Data Envelopment Analysis, which uses a non-parametric approach Data Envelopment Analysis (DEA). The input variables in this study include Third Party Funds (Deposits), Overhead Costs, Interest Expense. Meanwhile, the output variables include loans, interest income, and operating income other than interest. The results of the research analysis in the first stage (first stage) / DEA show that the average BPD in Indonesia is still not consistently efficient in carrying out its operational activities. This shows that the operational costs of BPD are still quite high.

KEYWORDS -Efficiency, Data Envelopment Analysis (DEA), Regional Development Bank (BPD)