Research On The Impact Of Digital Transformation On Profitability Of Commercial Banks

In recent years,with the rapid development of fintech,it has brought great challenges to the development of all walks of life,and the banking industry is no exception.It has become a problem for commercial banks to actively respond to the impact of fintech and embrace digital transformation.This paper will study the impact of digital transformation on the profitability of commercial banks,and based on this,put forward countermeasures and suggestions for the digital transformation of commercial banks.Firstly,to the digital transition to the current situation of the influence of the commercial bank profitability analysis,analysis of the digital transformation of commercial Banks liabilities business,including the direct impact of commercial Banks and the creation of financial high-tech enterprise of indirect influence on commercial Banks.Secondly,empirical research is carried out on the impact of digital technology on commercial banks.Relevant data from 2015 to 2020 are collected and extracted for quantitative analysis based on selected specific research objects,and return on assets(ROA)is taken as the dependent variable.Taking the proportion of science and technology personnel in total employees,the number of individual customers of e-banking,the number of enterprise customers of e-banking,the number of mobile banking customers,and the total transaction amount of e-banking as independent variables,and taking capital adequacy ratio(CAR),cost to income ratio(CIR),total assets(TA),and non-performing loan ratio(NPL)as control variables,the model was established for empirical analysis.China’s commercial banks actively respond to changes and embrace digital transformation.Finally,this paper believes that fintech has a great impact on China’s commercial banks,and commercial banks need to actively respond to changes and embrace the new development era of digital transformation.Finally,on the basis of a clear analysis of digital transformation,this paper puts forward specific countermeasures and suggestions for the digital transformation of commercial banks.