Research On The Impact Of Digital Development Of Commercial Banks On Business Operations

In the context of the global epidemic and the deteriorating economy,the government announced the "14th Five-Year Plan for Digital Economy Development"at the end of 2021,which reflects that the country attaches great importance to digital economy and has officially included it in the economic planning tasks.Meanwhile,commercial banks have significantly accelerated the process of digital transformation.All commercial banks have increased their investment in fintech,and the investment cost has increased year by year,and the digital transformation strategy is taken as a major development strategy of the bank.Therefore,it is an urgent problem for commercial banks to solve how to carry out digital transformation and the impact of digital transformation strategy on business,which is of great significance for their business strategy selection.This paper introduces the transformation of China’s commercial banks through informatization and digitalization,compares the digitalization strategies of different types of banks,analyzes the necessity of China’s commercial banks to gradually realize a higher level of digital transformation,and analyzes the transmission effect of digitalization development on bank operations from the main business of the bank,such as assets,liabilities,intermediate business and risk management.A total of 17 representative commercial banks were selected in this paper,and the regression model was used to empirically study the impact of the digital development of commercial banks on their operations,as well as whether there are differences between commercial banks with different forms of equity.The research results show that:on the whole,the digital development has brought a positive role in promoting the operation of Chinese commercial banks.Because large and medium-sized commercial banks have the strength of personnel,technology and capital as well as a complete and comprehensive financial service product system,they have a high investment in digital fintech,and their business performance will be significantly improved.However,urban commercial banks lack sufficient technical strength and personnel,and digital construction is still in the early stage.Blindly increasing investment in digital technology,but easy to increase operating costs,to the business performance has a negative impact.As a whole,commercial banks should speed up the direction of digital development to avoid market crowding out effect.Large and medium-sized banks should dervelop strategies such as top-level planning,upgrading new infrastructure,scenario-based services and promoting risk management,while small city banks should implement lightweight and multi-party cooperation strategies.Based on the empirical analysis results,the paper puts forward corresponding policy recommendations,which provide important reference value for commercial banks to choose effective digital transformation strategies,optimize operational efficiency and improve bank performance in theory and application.