Influence of Financial Process Innovation on Profitability of Commercial Banks in Mombasa County, Kenya
DOI:
https://doi.org/10.53819/81018102t4287Abstract
The study investigated the influence of Financial Innovation on Profitability of Commercial banks in Mombasa County. The Transaction Cost Theory was applied in support of this study. The study adopted descriptive survey design, with a target population of 252 respondents consisting of branch managers and various heads of departments. The sampling size was calculated using Nassiuma’s formula to determine the sample size of 77. Both primary and secondary data were collected in this study. Statistical analysis was carried out with the aid of IBMS SPSS Statistics for Windows, version 27. The hypothesis testing led to the rejection of H01 hence confirming that financial process innovation had a significant positive influence on the profitability of Commercial banks in Mombasa County. The study therefore recommends that there is need for banks to continuously update bank processes while filing patents for the same as this influences profitability positively.
Keywords: Financial Process Innovation, Profitability, Commercial banks, Mombasa County
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