A Study on Impact of Digital Payment on Profitability of Public Sector Bank in India

Abstract

The banking sector has been significantly impacted by digitalization. New financial services and products have resulted from it, and this has improved bank performance and reduce operating cost of bank and improve the customer services. However, there is limited research on impact of digitalization on Profitability of Bank. The main Objectives of this study is to examine the effect of Digital payment on Profitability of Public sector bank and explore the growth of Digital payment in India. Secondary data were collected from annual report of bank and make regression analysis to find out the impact of digital payment on Profitability of Public sector bank in India. The Analysis reveal that there is positive correlation between Growth of digital payment and Profitability of Public sector bank in India. The finding suggest that growth of digital payment may reduce operating cost for bank and improve the operation of bank which result into increase the profitability of Public sector bank in India.