The impact of financial inclusion on bank performance: the case of Jordan Online publication date: Mon, 09-Nov-2020
by Abdul Razzak Al-Chahadah; Ghaleb A. El Refae; Amer Qasim
International Journal of Economics and Business Research (IJEBR), Vol. 20, No. 4, 2020
Abstract: This study aims to examine the impact of financial inclusion on the financial performance of Jordanian banks listed in the Amman Stock Exchange. The study empirically tested the impact of five main indicators of financial inclusion on bank performance. Using a simple regression analysis, findings of the study showed statistically significant impact of two indicators of financial inclusion (i.e., financial access and enterprise financing) and bank financial performance (i.e., bank profitability) of Jordanian banks. The study recommends Jordanian financial institutions to move toward increasing innovative access to financial services as well as enhancing IT infrastructure and the development of financial services to raise the level of digital banking services which is currently considered relatively low when compared to other middle-income countries.
Online publication date: Mon, 09-Nov-2020
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