APPLICABILITY SYNERGY OF FINANCIAL TECHNOLOGY AND BANK PERFORMANCE.

Abstract

The study examined the predictive power of disruptive financial technologies, in the form of big data, artificial intelligence, block chain technology, web payment methods, point of sales and automated teller machine channels. The overriding objective was to evaluate how these financial innovation technologies have impacted returns on equity and returns on assets of quoted commercial banks. Performance of banks have been viewed to have sluggishly dwindled over the years and innovative technologies have been found to significantly improve performance in other sectors of the economy. Banks’ performance could be significantly and positively improved with the use of innovative financial technologies. The study adopted the illustrative non – experimental descriptive research design for the 22 quoted Nigerian deposit money banks, detailed in the Nigerian Exchange Group (NXG) for 2012 to 2022, acquired from the Central Bank of Nigeria. The study excluded observations with insufficient data for the measurement of variables, while the analysis was performed using e-views, version 10. The result revealed that all the five disruptive financial technology innovations studied had positive and significant predictive influence on returns on equity and returns on assets of quoted commercial banks in Nigeria. The study thus recommended that that banks should amplify the adoption of financial disruptive technologies in their operations for better synergized results.