Economics at your fingertips  

Do financial technology firms influence bank performance?

Dinh Hoang Bach Phan, Paresh Kumar Narayan, R. Eki Rahman and Akhis R. Hutabarat

Pacific-Basin Finance Journal, 2020, vol. 62, issue C

Abstract: We develop a hypothesis that the growth of financial technology (FinTech) negatively influences bank performance. We study the Indonesia market, where FinTech growth has been impressive. Using a sample of 41 banks and data on FinTech firms, we show that the growth of FinTech firms negatively influences bank performance. We test our hypothesis through multiple additional tests and robustness tests, such as sensitivity to bank characteristics, effects of the Global Financial Crisis, and the use of alternative estimators. Our main conclusion that FinTech negatively predicts bank performance holds.

Keywords: Financial technology; Bank performance; Predictability; Estimator (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

DOI: 10.1016/j.pacfin.2019.101210

Access Statistics for this article

Pacific-Basin Finance Journal is currently edited by K. Chan and S. Ghon Rhee

More articles in Pacific-Basin Finance Journal from Elsevier
Bibliographic data for series maintained by Haili He ().

Page updated 2021-01-15
Handle: RePEc:eee:pacfin:v:62:y:2020:i:c:s0927538x18305638