Proceedings of the 3rd International Conference of Islamic Finance and Business, ICIFEB 2022, 19-20 July 2022, Jakarta, Indonesia

Research Article

Financial Performance of Indonesia Banking: The Impact of Digital Banking

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  • @INPROCEEDINGS{10.4108/eai.19-7-2022.2328271,
        author={Sufi  Jikrillah and Isti  Fadah},
        title={Financial Performance of Indonesia Banking: The Impact of Digital Banking },
        proceedings={Proceedings of the 3rd International Conference of Islamic Finance and Business, ICIFEB 2022, 19-20 July 2022, Jakarta, Indonesia},
        publisher={EAI},
        proceedings_a={ICIFEB},
        year={2023},
        month={4},
        keywords={mobile banking roa nim bopo},
        doi={10.4108/eai.19-7-2022.2328271}
    }
    
  • Sufi Jikrillah
    Isti Fadah
    Year: 2023
    Financial Performance of Indonesia Banking: The Impact of Digital Banking
    ICIFEB
    EAI
    DOI: 10.4108/eai.19-7-2022.2328271
Sufi Jikrillah1,*, Isti Fadah1
  • 1: University of Jember
*Contact email: sjikrillah@ulm.ac.id

Abstract

The development of financial technology has now made the service sector of Ditigal Banking increase. This study aims to examine the influence of digital banking, namely mobile banking, on banking financial performance in terms of ROA, NIM and BOPO. The population in this study is the general banking industry that is registered and publishes its financial statements at the OJK during the period 2018 – 2020. The sample for this study amounted to 55 perbankan. The technique used is to score 1 in each feature in banking according to the indicators disclosed, and 0 for banks that do not have this feature. After getting the total score obtained by each bank, then the total score will be analyzed using the SmartPLS method. The use of mobile banking does not significantly affect the financial performance of banks, namely ROA, NIM and BOPO. Not optimal education about services through mobile banking to customers and large investment in banking technology for mobile banking services has caused bank profits to be eroded