The impact of Fintech firms on bank performance: analysing the South African case (2009-2021)
- Authors: Runyowa, Simon Simbarashe
- Date: 2024-10-11
- Subjects: Fintech South Africa , Banks and banking South Africa , Financial institutions South Africa , Bank management , Payment system
- Language: English
- Type: Academic theses , Master's theses , text
- Identifier: http://hdl.handle.net/10962/462812 , vital:76337
- Description: The growth of the Fintech Firm sector globally was inevitable, given the changes in consumer behaviour, expectations, and the ever-changing and evolving nature of technology. The sector saw a sharp increase during the 2008 Global Financial Crisis and was driven by digital payments, government policy, less stringent regulation, and technological innovation. Unsurprisingly, South Africa was home to a mature and developing Fintech sector primarily driven by money transfers and mobile payments putting Fintech firms in the same market segment as traditional banks but with a more extensive potential customer base through offering easily accessible and lower-cost services. The relationship between the growth of the Fintech firm sector and Bank performance was widely researched within the literature with varying results. The study aimed to add to the body of literature and determine the nature of this relationship in the South African context. The study primarily aimed to determine the relationship and impact of the growth of the Fintech firm payments segment on the performance of the South African Banking sector. Additionally, the study aimed to measure the sector's growth by creating a Fintech Growth Index. Using the Ordinary Least Squares, Fixed Effect and the Generalized Method of Moments estimation techniques, estimations between Bank performance variables and the Fintech growth Index were analysed between 2009 and 2021. Firstly, the study found the growth of the Fintech payments segment to be positive. Secondly, the study found that the growth of the payment segment had a negative relationship and impact on the financial performance of South African banks. The findings of this study have implications for the development and regulatory framework of the South African Fintech sector as well as its interaction with the South African banking sector. Furthermore, policymakers may find that the growth of the Fintech Firm sector has overall positive benefits for financial inclusion for South African consumers. The study recommended that future research be taken to address the gap in the literature regarding the growth of the South African Fintech sector. , Thesis (MCom) -- Faculty of Commerce, Economics and Economic History, 2024
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An empirical analysis of the asset price monetary policy transmission channel in South Africa
- Authors: Du Preez, Wilhelmus Petrus
- Date: 2021-10
- Subjects: Monetary policy South Africa , Banks and banking, Central South Africa , Transmission mechanism (Monetary policy) South Africa , Capital assets pricing model , Securities South Africa , Stocks Prices South Africa , Repurchase agreements South Africa
- Language: English
- Type: Master's theses , text
- Identifier: http://hdl.handle.net/10962/190318 , vital:44983
- Description: The asset pricing channel of monetary policy transmission breeds an interesting study. There has been an ongoing debate to determine whether monetary policy committees should directly influence the asset pricing channel through changes in the central bank control interest rate or whether monetary policy committees should refrain from targeting the asset pricing channel to meet their policy objectives. The study aims to critically analysis the asset pricing channel, firstly on a global context to set the scene and then to critically focus on the study performed by Muroyiwa et al. (2017) who conducted a study on the South African monetary policy and its interdependence on the stock market through utilisation of an SVAR model. It was concluded that monetary policy does significantly influence stock prices. The purpose of this study is to build on the results which have been formed by Muroyiwa et al. (2017) and to expand on the period under analysis which encapsulates 1999:01 to 2007:12 in order to conclude whether there are conflicting conclusions or conclusions which build on what has already been done. The results from the research shows that when the monetary policy committee decides to influence changes in the repo rate, the repo rate will have a direct effect on the asset markets, the indexes that were used to represent the asset market are the all share index, industrial 15 index and the financial 15 index. Furthermore. The study which has expanded the period under analysis has supplemented and built on the results provided by Muroyiwa et al. (2017). , Thesis (MCom) -- Faculty of Commerce, Economics and Economic History, 2021
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