Research On The Influence Of Digital Transformation Of Commercial Banks On Bank Risk-Taking

In recent years,with the rapid development of digital economy,commercial banks have accelerated the layout of their digital transformation.The digital transformation of banks has changed the traditional business process,risk control mode and organizational structure of banks,and has a profound impact on their daily business activities.This paper focuses on the impact of commercial banks’ digital transformation on banks’ risk-taking,and puts forward relevant suggestions for commercial banks to reasonably manage risks and reduce potential risks in the process of digital transformation.In terms of empirical research,this paper takes semi-annual data of 39 Chinese listed commercial banks from 2008 to 2021 as samples to verify that the digital transformation of commercial banks can affect banks’ risk-taking,and further tests the mechanism of action and related heterogeneity,and draws the following conclusions:The digital transformation of commercial banks can indeed reduce the risk taking of banks.The risk taking level can be reduced by improving the risk management ability and optimizing the allocation of credit assets.Further research on the influence mechanism shows that the digital transformation of commercial banks can improve the risk assessment ability and the efficiency of control activities in the risk management ability,thus reducing the level of risk taking.Moreover,it can expand the investment of personal loans and credit loans,and reduce the level of risk taking at the same time.In addition to the above conclusions,the easing effect of digital transformation of commercial banks on bank risk-taking has a heterogeneous effect on different banks.For non-five major state-owned banks,the digital transformation of commercial banks has a more significant effect on reducing bank risk taking.In terms of bank governance,the higher the proportion of independent directors and the higher the executive compensation,the more obvious the role of digital transformation in reducing bank risk taking.In terms of the development level of regional digital finance,the higher the development level of regional digital finance,the more significant the role of digital transformation of commercial banks in reducing bank risk taking.The research innovation of this paper is reflected in the research perspective and influence mechanism.It innovatively incorporates the perspective of digital transformation of commercial banks into the research framework of bank risk taking,discusses the channels through which the digital transformation of commercial banks affects the level of bank risk taking,and divides the influence mechanism into two aspects: bank risk management ability and bank credit asset allocation.Focusing on whether bank governance factors have a heterogeneous role in this process enrichis the empirical evidence of the relationship between digital transformation of commercial banks and bank risk taking.