Research On The Impact Of Digital Finance On The Digital Transformation Of Commercial Banks

The Digital transformation of commercial banks in the context of the development of digital finance is a major event in China’s financial system.In recent years,with the widespread application of digital finance in fields such as internet e-commerce,cross-border e-commerce,smart home,and the rise of new generation digital financial service providers such as Ant Financial,traditional financial institutions are facing opportunities and challenges.On the one hand,the development of digital finance is not conducive to the development of commercial banking business;On the other hand,digital finance is also providing technical support for the development of Digital transformation of commercial banks,and there is a relationship between competition and cooperation.Digital finance plays an indispensable role in the process of Digital transformation of commercial banks.Enhance their own strength,better play the role of financial intermediary,and maintain economic and social security.Based on the annual unbalanced panel data of 75 commercial banks from 2011-2021,this thesis constructs a two-way fixed effect model,and then introduces the mesomeric effect test,Compare the differences in their impact.The empirical results are as follows:(1)The Digital transformation of commercial banks will benefit from digital finance,because digital finance can bring significant positive impact.(2)In terms of the mesomeric effect impact mechanism of digital finance on commercial banks’ Digital transformation,profitability and risk management level play an intermediary role.(3)The positive effect of digital finance is more obvious than that of other types of commercial banks.Finally,robustness test was carried out.This paper used two-stage least squares method,replacement of explanatory variables,and elimination of special years to conduct regression analysis on samples.Based on the above research conclusions.this thesis proposes the conclusions:firstly,to promote digital innovation in the organizational structure of commercial banks;Secondly,provide more digital products.