This thesis uses the seasonal aggregation data covering the period beginning from 2000 to 2005 for the domestic banks and the foreign banks operated in Taiwan area to estimate their total factor productivities. Assuming that the labor productivities of using labor and funds being the same, while those of using capital and operation expenses differ, the estimated results show that the use of capital in the foreign banks is superior to that of the domestic banks during the turbulent period of banking restructuring, and that the total factor productivities measures of the foreign banks were sliding down toward zero and the domestic banks were moving up toward zero.