Mobile Banking: Evidence of Improved Bank Performance in the UAE

International Journal of Economics and Management Studies

© 2020 by SSRG - IJEMS Journal

Volume 7 Issue 12

Year of Publication : 2020

Authors : George Owusu-Antwi, Patrick Ofei, Thomas Eveland

10.14445/23939125/IJEMS-V7I12P107

How to Cite?

George Owusu-Antwi, Patrick Ofei, Thomas Eveland, "Mobile Banking: Evidence of Improved Bank Performance in the UAE," SSRG International Journal of Economics and Management Studies, vol. 7,  no. 12, pp. 47-55, 2020. Crossref, https://doi.org/10.14445/23939125/IJEMS-V7I12P107

Abstract:

The increased penetration of mobile banking is redefining banking operations in the UAE. This study examined the effect of mobile banking adoption on bank performance in the UAE by analyzing performance data spanning 2008 through 2016 from 15 selected banks. A random-effect model was applied using the pooled ordinary least squares method to estimate coefficients. The study found mobile banking adoption significantly negatively correlated with return on assets, implying that mobile banking adoption affects UAE banking performance. The analyses also showed a significant relationship between market share, expensesincome ratio, oil price, and mobile banking adoption. For banks, continuing to adopt mobile banking will be a key urgency going onward. It will help the banks advance their competitive advantages over other financial institutions and new entrants in the banking industry. This study provides scholars and practitioners with insights into how such adoption may impact bank performance.

Keywords:

Bank Performance, Banking Technology, Mobile Banking, Return on Assets, Banking Policy

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