The Efficiency and Profitability Level of Indonesia Banking System Adopting Fintech in 2018

DOI

10.2991/aebmr.k.200915.081How to use a DOI?

Keywords

efficiency, fintech, banking, data envelopment analysis

Abstract

This study aims to examine the efficiency and profitability level of the Indonesian banking system with and without the use of fintech technology. This is a quantitative research, with data obtained from the 96 banks in 6 groups published in the 2018 financial statements in accordance with the adaptation of fintech. A total of six input variables namely Total Deposits, Total Equity, Fixed Assets, Interest Expenses, Salaries Expenses and Total Operating Expense and four output namely Total Loans, Investment Securities, Interest Income and Operating Income, were used in this research. The result showed that the average achievement of the efficiency and profitability of banks that adopt the use of fintech was significantly different from those that do not adopt its usage. The optimal efficiency level of non-foreign exchange commercial banks, State-owned banks, and other banks that adopt this this technology has an average efficiency index of 100 %, 90 - 99 % and 80-90%.

Copyright

© 2020, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Hartini
AU  - Jakaria
PY  - 2020
DA  - 2020/09/15
TI  - The Efficiency and Profitability Level of Indonesia Banking System Adopting Fintech in 2018
BT  - Proceedings of the International Conference on Management, Accounting, and Economy (ICMAE 2020)
PB  - Atlantis Press
SP  - 358
EP  - 361
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.200915.081
DO  - 10.2991/aebmr.k.200915.081
ID  - 2020
ER  -