Innovative Financial Services and Commercial Banks’ Profitability in Africa

This paper aims to examine the effect of innovative financial services on bank financial performance in Africa. A mixed research method was used. Balanced panel data from thirteen years of audited financial statements of the seventeen oldest commercial banks in Africa were used by the researchers. The Hausman test was conducted to identify the best estimator. The random effects regression findings of the article suggested that automatic teller machine services, mobile banking services, and internet banking services have a positive effect on the profitability of commercial banks operating in Africa. The researchers recommended that commercial banks operating in Africa focus on these three innovative financial services to earn sustainable revenue.