Measuring the impact of electronic banking on financial performance indicators of banks - an applied study in a sample of Jordanian banks for the period (2000-2011)

Abstract

Banks are the backbone of economic life in any country and that because of the
vital roles and jobs in the economy, since banks are the most important financial
institutions, which play a pivotal role in the development of countries , under the
great progress that the world is witnessing in the field of information and
communication technology has intensified the pressure on financial institutions
in general, and specifically banking in order to keep up with the requirement of
modern banking so you can survive and succeed in a world of increasing change
culture at the level of the bank and the customer.
This study seeks to achieve the following objectives :
1. Determine the level of interest of commercial banks with the electronic
banking services and the expansion of the update, and keep up with
global development
2. Recognize the reality of electronic banking and the main indicators in some
commercial banks in the Hashemite Kingdom of Jordan
3. Measuring the impact of electronic banking indicators in the financial
performance indicators of the study sample banks
According to the above came this study to demonstrate the impact of electronic
banking as an independent variable with its indicators of (number of Automatic
Teller Machines (ATMs) , the number of Automatic Teller Machine cards , the
number of the Bank spokesman subscribers , the number of correspondent
banks, revenue of credit cards, number of credit cards granted (Master Card
and Visa Card )) in the financial performance indicators of the study sample
banks as a dependent variable ( profitability, liquidity, capital adequacy and
capital investment indicator ) , as a practical study in a sample of Jordanian
banks .
In order to achieve the objectives of this study was to develop a supposal
diagram determines the nature of the relationship between the independent
variables and the dependent variables , in order to reveal the nature of this
relationship was formulated several hypotheses were tested using advanced
statistical methods, by using statistical software (SPSS), has been selected sample
of Jordanian banks to conduct the study and test its hypotheses, since the study
included the following banks (the Housing Bank for Trade and Finance, Arab
Bank, Al Ahli Bank , Bank of Cairo Amman), and used the annual reports as a
main tool in the collection of data related to field side for the study sample
banks for the years (2000 – 2011).
: The study found several conclusions standing on her head
1. The presence of a statistical correlation between indicators electronic banking
and financial performance indicators of the study sample banks .
3. The presence of a significant effect of electronic banking indicators in financial
performance indicators of the study sample banks . Depending on
the conclusions were drafting some of the most important recommendation:
1. Call legal and legislative bodies in Jordan to enact legislation or laws
governing the operation of electronic banking and services to protect the
transacting parties or to update existing laws and adapted way that makes it
valid and open on electronic banking and other electronic services . 2. Study
of new services to competition in the Kingdom of Jordan , specifically banks
electronic order literacy level of electronic services and to maintain the
competitive position of the bank compared to its peers and that the adoption of
technology in the field of electronic banking pays the bank to improve its
performance and thus maintain its competitive position in the banking market