research-article

How does digital transformation affect systemic financial risks of commercial banks? An investigation based on fuzzy-set qualitative comparative analysis

Authors:

Boan Pan,

Xiaojian Zhou,

Renlong Huang,

Yuchen LiuAuthors Info & Claims

IC4E '22: Proceedings of the 2022 13th International Conference on E-Education, E-Business, E-Management, and E-Learning

Pages 419 - 425

https://doi.org/10.1145/3514262.3514308

Published: 19 April 2022 Publication History

Get Access

IC4E '22: Proceedings of the 2022 13th International Conference on E-Education, E-Business, E-Management, and E-Learning

How does digital transformation affect systemic financial risks of commercial banks? An investigation based on fuzzy-set qualitative comparative analysis

Pages 419 - 425

Abstract
References

Abstract

With the rapid development of digital transformation in the financial industry, more and more people have begun to pay attention to its relationship with the systemic risk of commercial banks. Based on the annual cross-sectional data of 22 listed banks in China in 2020, this paper employs fuzzy set qualitative comparative analysis (FsQCA) to make multi-level theoretical and empirical analysis on the causality and influence paths between the degree of digitization financial industry and the systemic risk of commercial banks. It adopts the CoVaR model to calculate the risk index. The results show that the impact of digital transformation on systemic risk is multi-path. On the one hand, strict monitoring of digital service and application level is one of the necessary core conditions to achieve low systemic risk of commercial banks. On the other hand, substantial digital potential, solid digital technology foundation, and digital solid platform construction level are also essential conditions to reduce the systemic financial risks of banks.

References

[1]

Allen F, Mcandrews J, Strahan P. E-finance: An Introduction [J]. Journal of Financial Services Research, 2002, 22(1): 5-27.

Crossref

Google Scholar

[2]

Allen, F, J. McAndrews and P. Strahan, 2002, “E − finance: An Introduction”, Journal of Financial Services research, 22(1), pp. 5 -27.

Crossref

Google Scholar

[3]

Piovesan L., Lacerda D, Thomé A. (2021) Exploratory Analysis of the Impacts of Digital Transformation on SupplyChain Management Processes.Industrial Engineering and Operations Management. IJCIEOM 2021. Springer Proceedings in Mathematics & Statistics, vol 367. Springer, Cham.

Google Scholar

[4]

Maushchak, O. Pavlykivska, Y. Khrapunova, V. Kostiuk and L. Berezovska, ``The Economy of digitization and Digital Transformation: Necessity and Payback,” 2021 11th International Conference on Advanced Computer Information Technologies (ACIT), 2021, pp. 305-308.

Crossref

Google Scholar

[5]

Gong C, Ribiere V. Developing a unified definition of digital transformation. Technovation.volume 102, 102217 (2021).

Crossref

Google Scholar

[6]

Wang, L., Wu, C: A combination of models for financial crisis prediction: integrating probabilistic neural network with back-propagation based on adaptive boosting. Int. J. Comput. Intell. Syst. 10, 507 (2017)

Crossref

Google Scholar

[7]

Allen F, Carletti E.Credit risk transfer and contagionJ. Monetary Econ., 53 (1) (2006), pp. 89-111

Crossref

Google Scholar

[8]

Zhang. T, "Research on Big Data's Prevention Technology of Financial Systemic Risk," 2020 International Conference on Intelligent Transportation, Big Data & Smart City (ICITBS), 2020, pp. 663-666,

Crossref

Google Scholar

[9]

Ragin C. Set relations in social research: Evaluating their consistency and coverage[J]. Political Analysis, 2006,14(3):291-310

Crossref

Google Scholar

[10]

Allen,F. Fulghieri and H. Mehran, 2011, ``The Value of Bank Capital and the Structure of the Banking Industry”, The Review of Financial Studies,24( 4), pp. 971-982.

Google Scholar

[11]

Zhou Y, Yan J. (2020) A Hybrid Deep Learning Approach for Systemic Financial Risk Prediction. In: Gervasi O. (eds) Computational Science and Its Applications – ICCSA 2020. ICCSA 2020. Lecture Notes in Computer Science, vol 12249. Springer, Cham.

Google Scholar

[12]

Saha I, Kavitha V. (2021) Financial Replicator Dynamics: Emergence of Systemic-Risk-Averting Strategies. In: Lasaulce S., Mertikopoulos P., Orda A. (eds) Network Games, Control and Optimization. NETGCOOP 2021. Communications in Computer and Information Science, vol 1354. Springer,

Crossref

Google Scholar

Cited By

View all

Dong Y(2023)A Novel Financial Risk Identification and Management Method of Commercial Bank with Emerging TechnologyHighlights in Business, Economics and Management10.54097/hbem.v16i.1066816(584-591)Online publication date: 2-Aug-2023
https://doi.org/10.54097/hbem.v16i.10668

Recommendations

Digital Finance and Commercial Banks' Risk

China's digital financial growth has advanced rapidly, and the banking sector, which serves as the core of the real economy, is concerned about its capacity to resist the impacts of digital finance. The paper analyzes the impact of digital financing on ...
Research on the Bankruptcy Tendency of China's Commercial Banks ——Based on the Data Experience of Bankrupt banks in the United States during the 2008 financial crisis
EPCE '22: Proceedings of the Asia Conference on Electrical, Power and Computer Engineering

With the increasing importance of liquidity, the liquidity risk of commercial banks has become an important part of the major risks in the modern economic system because of its concentration, explosion and severity of consequences. It is very important ...
Financial Risk and Financial Performance of Banks in Egypt

Comments

Information & Contributors

Information

Published In

IC4E '22: Proceedings of the 2022 13th International Conference on E-Education, E-Business, E-Management, and E-Learning

January 2022

626 pages

ISBN:9781450387187

DOI:10.1145/3514262

Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than ACM must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected]

Publisher

Association for Computing Machinery

New York, NY, United States

Publication History

Published: 19 April 2022

Permissions

Request permissions for this article.

Request Permissions

Check for updates

Qualifiers

Research-article
Research
Refereed limited

Funding Sources

National Natural Science foundation
STITP of NJUPT

Conference

IC4E 2022

IC4E 2022: 2022 13th International Conference on E-Education, E-Business, E-Management, and E-Learning

January 14 - 17, 2022

Tokyo, Japan

Contributors

Other Metrics

View Article Metrics

Bibliometrics & Citations

Bibliometrics

Article Metrics

1
Total Citations
View Citations
97
Total Downloads

Downloads (Last 12 months)28
Downloads (Last 6 weeks)0

Reflects downloads up to 27 Feb 2025

Other Metrics

View Author Metrics

Citations

Cited By

View all

Dong Y(2023)A Novel Financial Risk Identification and Management Method of Commercial Bank with Emerging TechnologyHighlights in Business, Economics and Management10.54097/hbem.v16i.1066816(584-591)Online publication date: 2-Aug-2023
https://doi.org/10.54097/hbem.v16i.10668

View Options

Login options

Check if you have access through your login credentials or your institution to get full access on this article.

Full Access

Get this Publication

View options

PDF

View or Download as a PDF file.

PDF

eReader

View online with eReader.

eReader

HTML Format

View this article in HTML Format.

HTML Format

Abstract

References

Cited By

Recommendations

Digital Finance and Commercial Banks' Risk

Research on the Bankruptcy Tendency of China's Commercial Banks ——Based on the Data Experience of Bankrupt banks in the United States during the 2008 financial crisis

Financial Risk and Financial Performance of Banks in Egypt

Comments

Information

Published In

Publisher

Publication History

Permissions

Check for updates

Qualifiers

Funding Sources

Conference

Contributors

Other Metrics

Bibliometrics

Article Metrics

Other Metrics

Citations

Cited By

Login options

Full Access

View options

PDF

eReader

HTML Format

Share

Share this Publication link

Share on social media

Affiliations