Research On The Impact Of Financial Technology Application On The Profitability Of Commercial Banks

At present,the COVID-19 has a great impact on the financial sector,which may promote the innovation and development of the financial and banking industry.Judging from the application status of the Internet and information technology,it is clear that my country has entered the era of digital economy in an all-round way,and the normalized management of the epidemic has forced commercial banks to continuously improve the application level of financial technology.In this context,the use of financial technology by banks has gradually shifted from front-line customer management and service to risk prevention,enterprise management,business remodeling and other fields of work.This article will study and demonstrate the impact of financial technology on commercial banks.The impact of development,with a focus on the impact on profitability.To this end,this paper puts forward the hypothesis that setting risk prevention and control,governance ability,operating ability,and competitiveness as the intermediary transmission role will have an impact on the profitability of commercial banks.Through empirical analysis,it is found that this effect is not direct,but affects profitability through a mediating transmission effect mechanism.The specific demonstration results are as follows:Risk management and governance capabilities have a positive transmission effect on the ability of financial technology to play a role in stress,in which the mediating effect of governance capability is 0.500,and the mediating effect of risk management is-0.019;competitiveness has a negative transmission effect on the profitability of financial technology,and its mediating effect is The coefficient is 0.236,and the coefficient of influence of the price-earnings ratio on the return on total assets is 0.1 88.It can be seen that each percentage point increase in the level of financial technology will reduce the impact of the price-earnings ratio on the return on total assets by 0.024 percentage points;excluding the intermediary effect,the role of financial technology The effect of commercial banks is not significant,which shows that in the absence of an intermediary transmission mechanism,no matter how high the level of financial technology is,it cannot improve profitability.Based on the research conclusions,this paper puts forward relevant suggestions and measures from three aspects:commercial banks,regulatory agencies,and government departments.