Digital Finance on Stability among Philippine Banks
To promote financial inclusivity while being responsive to technology demands, the Philippine government implemented a framework that requires banks to improve and innovate their payment systems. The introduction of the National Retail Payment System raises the question of whether the aim of Bangko...
| Main Authors: | , , , , , , |
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| Format: | Article |
| Language: | English |
| Published: |
Center for Policy, Research and Development Studies
2022-12-01
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| Series: | Recoletos Multidisciplinary Research Journal |
| Subjects: | |
| Online Access: | https://rmrj.usjr.edu.ph/rmrj/index.php/RMRJ/article/view/1407 |
| _version_ | 1828072735133138944 |
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| author | Albie Mae G. Sumaylo Christine Mae S. Babon Marivic L. Bayaras Ella Michelle E. Pedrigal Aleshia Klyne S. Pening Mary Joy C. Teodosio Jesse S. Susada |
| author_facet | Albie Mae G. Sumaylo Christine Mae S. Babon Marivic L. Bayaras Ella Michelle E. Pedrigal Aleshia Klyne S. Pening Mary Joy C. Teodosio Jesse S. Susada |
| author_sort | Albie Mae G. Sumaylo |
| collection | DOAJ |
| description | To promote financial inclusivity while being responsive to technology demands, the Philippine government implemented a framework that requires banks to improve and innovate their payment systems. The introduction of the National Retail Payment System raises the question of whether the aim of Bangko Sentral ng Pilipinas in advancing digital financial inclusion significantly impacts the financial stability of universal and commercial banks. This correlational study examines the impact of digital financial inclusion on bank stability utilizing principal component analysis and linear regression analysis from a dataset of 19 universal and commercial banks from 2017 to 2019. Findings showed that a higher level of digital financial inclusion is associated with higher banking stability for Philippine universal and commercial banks. While the results support the study hypothesis of a positive relationship between the two (2) variables, the statistical significance cannot be guaranteed at the outset of this analysis due to the limited number of years examined. |
| first_indexed | 2024-04-11T01:15:40Z |
| format | Article |
| id | doaj.art-d79bc3b167f8483180d59a1c2d913811 |
| institution | Directory Open Access Journal |
| issn | 2423-1398 2408-3755 |
| language | English |
| last_indexed | 2024-04-11T01:15:40Z |
| publishDate | 2022-12-01 |
| publisher | Center for Policy, Research and Development Studies |
| record_format | Article |
| series | Recoletos Multidisciplinary Research Journal |
| spelling | doaj.art-d79bc3b167f8483180d59a1c2d9138112023-01-04T04:04:58ZengCenter for Policy, Research and Development StudiesRecoletos Multidisciplinary Research Journal2423-13982408-37552022-12-01102637310.32871/rmrj2210.02.07Digital Finance on Stability among Philippine BanksAlbie Mae G. Sumaylo0https://orcid.org/0000-0002-0695-4062Christine Mae S. Babon1https://orcid.org/0000-0002-2343-2629Marivic L. Bayaras2https://orcid.org/0000-0002-0880-5554Ella Michelle E. Pedrigal3https://orcid.org/0000-0003-1520-9694Aleshia Klyne S. Pening4https://orcid.org/0000-0002-4314-1108Mary Joy C. Teodosio5https://orcid.org/0000-0002-9437-1528Jesse S. Susada6https://orcid.org/0000-0003-1563-1377University of San Jose Recoletos, Cebu City, PhilippinesUniversity of San Jose Recoletos, Cebu City, PhilippinesUniversity of San Jose Recoletos, Cebu City, PhilippinesUniversity of San Jose Recoletos, Cebu City, PhilippinesUniversity of San Jose Recoletos, Cebu City, PhilippinesUniversity of San Jose Recoletos, Cebu City, PhilippinesUniversity of San Jose Recoletos, Cebu City, PhilippinesTo promote financial inclusivity while being responsive to technology demands, the Philippine government implemented a framework that requires banks to improve and innovate their payment systems. The introduction of the National Retail Payment System raises the question of whether the aim of Bangko Sentral ng Pilipinas in advancing digital financial inclusion significantly impacts the financial stability of universal and commercial banks. This correlational study examines the impact of digital financial inclusion on bank stability utilizing principal component analysis and linear regression analysis from a dataset of 19 universal and commercial banks from 2017 to 2019. Findings showed that a higher level of digital financial inclusion is associated with higher banking stability for Philippine universal and commercial banks. While the results support the study hypothesis of a positive relationship between the two (2) variables, the statistical significance cannot be guaranteed at the outset of this analysis due to the limited number of years examined.https://rmrj.usjr.edu.ph/rmrj/index.php/RMRJ/article/view/1407digital financial inclusionbsp national retail payment systemuniversal bankscommercial banksbank stability |
| spellingShingle | Albie Mae G. Sumaylo Christine Mae S. Babon Marivic L. Bayaras Ella Michelle E. Pedrigal Aleshia Klyne S. Pening Mary Joy C. Teodosio Jesse S. Susada Digital Finance on Stability among Philippine Banks Recoletos Multidisciplinary Research Journal digital financial inclusion bsp national retail payment system universal banks commercial banks bank stability |
| title | Digital Finance on Stability among Philippine Banks |
| title_full | Digital Finance on Stability among Philippine Banks |
| title_fullStr | Digital Finance on Stability among Philippine Banks |
| title_full_unstemmed | Digital Finance on Stability among Philippine Banks |
| title_short | Digital Finance on Stability among Philippine Banks |
| title_sort | digital finance on stability among philippine banks |
| topic | digital financial inclusion bsp national retail payment system universal banks commercial banks bank stability |
| url | https://rmrj.usjr.edu.ph/rmrj/index.php/RMRJ/article/view/1407 |
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