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The Impact of fintech innovations and financial standards on bank performance: Evidence from selected commercial banks in ASEAN

Page: 1-193
2019
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Thesis / Dissertation Description

In the rapidly evolving financialtechnology (fintech) landscape, there has been an increase in the number of theindustry research papers and articles on fintech adoption and innovations. However,there are relatively few empirical studies that provide a quantitative analysisof the effects of fintech and financial standards on bank performance usingfinancial indicators. This dissertation attempts to fill this research gap byidentifying and analysing the impact of commercial banks’ adoption of mobilebanking technologies on bank financial performance in five countries that adoptedfinancial standards in the Association of Southeast Asian Nations (ASEAN). Usingthe longitudinal panel data from 2010-2017 of 36 local commercial banks inSingapore, Malaysia, Philippines, Thailand and Brunei Darussalam in ASEAN, thisempirical research found banks’ adoption of mobile banking technologies had thefollowing results: (1) it positively impacted banks’ fee income, operatingcosts, consumer loans, money market deposits and profitability; (2) its effectswere much larger for smaller banks in the Philippines and Thailand; and (3) thatfinancial standards showed a significant mediating effect on bank profitabilityfor both big banks and small banks in ASEAN. Overall, this research concludesthat both fintech and financial standards have a positive impact on the financialperformance of selected commercial banks in ASEAN.

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