Authors:
Adel Necib, Hinda Gmati
Addresses:
Department of Finance, University of Economic Science and Management of Sfax, Sfax, Tunisia, adelnecib314@gmail.com. Department of Finance, Tunis Higher School of Commerce, Manouba, Tunisia, hindgmati@live.fr.
Abstract:
The purpose of this study is to analyze the influence that financial technology (Fintech) has had on the performance of thirty-five banks in the United Kingdom between 2021 and 2023. In the context of rapid digitalization, financial institutions are increasingly implementing solutions powered by Fintech to fulfil customers’ shifting expectations and industry norms. This study aims to investigate how the incorporation of FinTech can impact many areas of bank performance. These aspects include operational efficiency, customer service, financial stability indicators such as capital adequacy ratios, and Total Factor Productivity (TFP). Although implementing Fintech presents prospects for cost savings and operational advantages, it also creates issues relating to regulatory compliance, risk management, and the ability to respond to inflation dynamics. Through the analysis of empirical data, this research contributes to understanding the intricate relationship between technological innovation and financial outcomes in the banking sector of the United Kingdom. This research also offers insights to stakeholders looking to maximize their utilization of Fintech in the face of technological disruptions and market evolution.
Keywords: Fintech Performance; Banks and Digitalization; Economic Environment; Total Factor Productivity (TFP); Return on Assets (ROA); Rapid Digitalization.
Received: 22/12/2023, Revised: 07/02/2024, Accepted: 05/04/2024, Published: 05/06/2024
AVE Trends in Intelligent Technoprise Letters, 2024 Vol. 1 No. 2 , Pages: 71-81