| Abstract [eng] |
The main purpose of this master's thesis is to assess the impact of financial technology on the profitability of banks. The work consists of 3 main parts: analysis of scientific literature, research methodology and research results, conclusions and recommendations. An analysis of the literature has shown that, as the financial industry becomes increasingly dependent on information technology, it is important to understand the impact of financial technology on the profitability of traditional financial institutions. The Impact Assessment of Financial Technologies is useful in helping financial institutions, especially developing institutions, and financial regulators to assess the success and efficiency of financial technologies and to promote inovations development and financial inclusion. In the study, profitability in the banking sector was measured by return on assets (ROA), return on equity (ROE) and net interest margin (NIM). Debit and credit payment cards, ATM and POS terminals, non-cash transactions, and online banking were analyzed in the study of financial technology. The impact of financial technologies on the profitability of the banking sector is analyzed in Central and Eastern European countries. The research period is 2005-2020. The study uses correlation and regression analysis. The analysis is performed in two directions. First, the impact of financial technologies on the overall profitability of banks in the Central and Eastern European region was assessed. The second part of the study involved assessing the impact of financial technologies by grouping countries according to their level of development. A study of the impact of financial technology on the profitability of the banking sector in Central and Eastern Europe has shown that financial technology has some impact on the profitability of the banking sector, but not all such financial services have a significant impact. Financial technologies were found to have the highest impact on the NIM profitability ratio and the lowest ROE profitability ratio. It was also found that most of the financial technologies assessed in the analysis of the impact on Central and Eastern Europe have a negative or negligible impact on banks' profitability due to the need for inadequate payment infrastructure, high investment and maintenance costs. |
