FINANCIAL TECHNOLOGY AND CYBERSECURITY IN COMMERCIAL BANK IN NEPAL

Abstract

This study evaluates the impact of financial technology (Fintech) on cybersecurity in commercial banks in Nepal, aiming to address the challenges posed by the digitization of financial services. By analyzing the relationship between Fintech adoption and cybersecurity measures, the study seeks to identify potential risks and vulnerabilities while assessing the overall impact of financial technology on commercial banks in Nepal. The research design encompasses a descriptive and causal-comparative approach, targeting employees in commercial banks within the Kathmandu Valley, Nepal. A sample size of 385 participants is selected using convenience sampling, drawn from various types of banks. Data collection is conducted through structured questionnaire surveys to capture relevant variables and factors identified in the literature, employing a five-point Likert scale for measurement. Statistical software such as Microsoft Excel and SPSS are utilized for data analysis, employing descriptive statistics, correlation analysis, and multivariate regression models. These analytical tools allow for the exploration of the relationship between Fintech adoption and cybersecurity measures, controlling for other relevant factors outlined in the research framework. The findings reveal that independent variables such as self-efficacy, information security, technological culture, and competence and skill collectively serve as significant determinants of cybersecurity readiness in commercial banks in Nepal. The regression analysis indicates a positive impact of each independent variable on cybersecurity, emphasizing the importance of organizational culture and employee empowerment in addressing cybersecurity challenges effectively. Practically, the study underscores the importance of enhancing cybersecurity measures in commercial banks, especially in light of increasing Fintech adoption. Theoretical implications contribute to understanding the complex dynamics between Fintech and cybersecurity readiness. Recommendations include implementing robust cybersecurity protocols, fostering a culture of cybersecurity awareness, and investing in continuous training and education for employees to mitigate cyber threats effectively.