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Contribution of Internet Banking toward Profitability of Banking in India

Author

Listed:
  • Majid Karimzadeh

    (Islamic Azad University)

  • Mohammad Reza Sasouli

    (Tehran University)

Abstract

The adoption of the Internet in the banking industry on the one hand is closely related to a change in the structure of the organization and nature of operations in banking industry itself, and on the other hand, to the emergence of computer as a significant organizational tool. Banks have always been starving to introduce new technologies to reduce operational costs and expand their businesses. This study is an attempt to investigate the contribution of Internet banking on the performance of the banking system in India. Return on Assets (ROA) and Return on Equity (ROE) ratios are used to test this effect. The regression analysis showed that there is a significant effect of Internet banking services on the profitability of banks in terms of ROA and ROE in India.

Suggested Citation

  • Majid Karimzadeh & Mohammad Reza Sasouli, 2013. "Contribution of Internet Banking toward Profitability of Banking in India," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 9(6), pages 57-69, December.
    • Handle: RePEc:dug:actaec:y:2013:i:6:p:57-69
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    File URL: http://journals.univ-danubius.ro/index.php/oeconomica/article/view/1969/2001
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    References listed on IDEAS

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    2. Tariq Abbasi & Hans Weigand, 2017. "The Impact of Digital Financial Services on Firm's Performance: a Literature Review," Papers 1705.10294, arXiv.org.
    3. Apostolos Dasilas & Goran Karanovic, 2023. "The Impact of Internet Finance on Bank Profitability. Evidence from The Chinese Commercial Banks," Accounting and Management Information Systems, Faculty of Accounting and Management Information Systems, The Bucharest University of Economic Studies, vol. 22(4), pages 591-608, December.

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