IMPACT OF M-BANKING ON THE PROFITABILITY OF COMMERCIAL BANKS IN INDIA

Banking sector has always been the lifeblood of any economy and specifically of developing economies.With advent developments and technological advancements this sector has seen a transformation from its conventionalform to e-banking and recently to m-banking. The present study is an attempt to describe the current state of Mobilebanking in India. This paper is an assessment towards the impact of m-banking on the profitability of scheduledcommercial banks in India. The data pertaining to the usage of mobile banking and profitability measures of allscheduled commercial banks in India has been collected through RBI website and CMIE Database for the period from 2010 to 2020. Itwas found in the study that although the usage of m-banking has tremendously increased during the period of study,it has not played any significant role towards improvisation in the profitability of these banks. Also, m-banking hasbeen suffering from network effect as currently it is in its developing stage and most of the banks have recentlyincluded the concept of m-banking in the portfolio of their services. It has been opined in the paper that if all thebanks could proceed to the path of m-banking in a proper manner, the overall profitability due to m-banking willimprove in coming years.