The effectiveness of electronic banking development on the profit an‎d risk of Iranian commercial banks

11/22/2025 12:00:00 AM

Electronic banking is one of the fundamental developments in the financial services sector, which has become a vital tool for improving the performance of banks with the advancement of technology an‎d the digitalization of the world. This development allows customers to perform their banking services without having to visit branches in person an‎d benefit from numerous benefits such as saving time an‎d reducing transaction costs. The main objective of the present study is to examine the effectiveness of the development of electronic banking on the profit an‎d risk of Iranian commercial banks. In this study; the development of electronic banking is considered as an independent variable that refers to the number of POS devices, online branches an‎d ATM devices relative to the number of bank branches. Also; the profit an‎d risk of Iranian commercial banks are considered as dependent variables an‎d the variables of bank size, bank leverage, bank deposit ratio an‎d granted facilities ratio are considered as control variables. The statistical sample of the study includes 21 banks during the period 1398 to 1402. The data analysis method was carried out through panel data regression test with fixed effects method. The results of the study showed that electronic banking increases the profitability an‎d risk of commercial banks. In general, the findings of the study indicate that easy an‎d fast access to banking services, saving time an‎d money, increasing the security of transactions, an‎d providing diverse services allow banks to reach more customers an‎d provide their services on a wider scale, which leads to improved profitability. However, electronic banking, despite its many benefits for customers an‎d banks, is also associated with risks. These risks can include security, operational, credit, legal, an‎d reputational risks.

توسعه بانكداري الكترونيك , سود بانك , ريسك بانك , تسهيلات اعطايي

granted facilities , bank risk , bank profit , electronic banking development

Yasamin Ahmadsafa

Dr. Saeed Mirza Mohammadi