Financial Innovation and Financial Performance of Nigerian Listed Deposit Money Banks: Evidence from Panel Data Modeling (Published)
This study examined the impact of financial innovation on the financial performance of Deposit Money Banks (DMBs) in Nigeria, utilizing secondary data from 2008 to 2023. This data was sourced from the banks’ annual financial statements and the Nigerian Exchange Group Factbook. Nine banks with international authorization were purposively selected for the study. Financial innovations in the banking sector include automated teller machines (ATMs), point of sale (POS) terminals, internet banking (WEB), and mobile money payments (MOB) transactions, while return on assets (ROA) and return on equity (ROE) were used as measures of bank financial performance. Panel data models were designed and estimated using the Feasible Generalized Least Squares (FGLS) regression technique. The findings indicated that financial innovations positively influenced the banks’ financial performance. However, while ATM and POS transactions significantly impacted the banks’ ROA and ROE, WEB and MOB transactions had no significant impact on the financial performance of the deposit money banks.
Keywords: Deposit Money Banks, Financial Innovation, Nigeria, Return on Asset, Return on Equity, panel data modeling
Research on the Relationship between Financial Innovation and Industrial Structure Upgrading: Dynamic Empirical Analysis Based on Var Model (Published)
This paper selects the relevant data from 1992 to 2011 to empirically analyse the relationship between financial innovation and industrial restructuring. The results show that the degree of financial innovation can promote the upgrading of industrial structure to a certain extent; and the degree of financial deepening is inefficient. It may even bring about the reverse expected effect. The higher the proportion of financial assets in GDP, the more likely it may be to hinder the adjustment and upgrading of industrial structure. This further proves that the funds brought by China’s financial innovation have not flowed more to the real economy, and have not met the funding requirements of enterprise development, and the conclusion that China’s financial market and industrial structure development are not coordinated.
Keywords: Financial Innovation, Industrial Structure, VAR Model