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The Impact of E-banking on Performance of Banks:Evidence from Russia


Tatiana Nikolaevna Fliginskih, Oksana Valerievna Vaganova, Ludmila Vasilevna Usatova, Natalya Evgenyevna Solovjeva, Nataliya Igorevna Bykanova and Yousef Ragheed
Abstract

The banking industry in Russia has witnessed great developments in the field of electronic banking in the past years. But, there is a dearth of observed analysis that examine the effects of electronic banking on the working of Russian banks. Using panel data of 10 banks during the period 2004-2018, the authors of this research have explored the effect of electronic banking on the working of Russian banks. Return on assets (ROA) and return on equity (ROE) were employed as representatives to estimate the banks' production. The results show that that there is a unfavourable influence of e-banking on the banks' production in the first year of adoption, in contrast, after three years of adoption, this effect turns into a favourable influence on production and banks begin to achieve gains from the introduction of e-banking. The outcomes of this research were to give Russian banks with recommendations for e-banking adoption in order to achieve better performance.

Volume 12 | 04-Special Issue

Pages: 231-239

DOI: 10.5373/JARDCS/V12SP4/20201485