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Balancing Efficiency and Sustainability: The Effect of Fintech on Commercial Bank's Financial Performances

Balancing Efficiency and Sustainability: The Effect of Fintech on Commercial Bank's Financial Performances
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Author(s): Mirudhula K. (Srinivasa Ramanujan Centre, SASTRA (Deemed to be) University, India)and Karthikeyan S. (Srinivasa Ramanujan Centre, SASTRA (Deemed to be) University, India)
Copyright: 2027
Pages: 36
Source title: Determinants of FinTech Adoption and Banks' Financial Performance
Source Author(s)/Editor(s): Muhammad Naeem Shahid (School of Accounting and Finance, Faculty of Business and Law, Taylor’s University, Malaysia)and Muhammad Umar Islam (Asia Pacific University of Techology and Innovations, Malaysia)
DOI: 10.4018/979-8-3373-6244-1.ch003

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Abstract

Financial technologies explosive growth has changed the global banking landscape by transforming established commercial banking models and creating new avenues for expansion, effectiveness and financial inclusion. The chapter aims at addressing the impact of fintech on the bank's financial performances and its challenges in adopting it in the system. Despite of these, there raised a challenging risk and threats in way of handling such technical aspects of bank briefing various financial technologies and its evolution over the years also it discusses about its financial inclusion and provides a way for underserved areas to explore and to incorporate the habit of saving through wide range of fintech platforms like peer-peer lending, AI integrated applications etc., along with the various available opportunities for commercial banks. Adding to this, it discusses about the crucial role of fintech in policy and regulatory compliance of commercial banks as it leads to achieve long-term financial sustainability and customer loyalty by balancing efficiency, trust and transparency.

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