Abstract

This paper looks at how financial technology (FinTech) adoption affects bank stability, measured by distance to default. It uses a unbalanced panel of listed banks from the Gulf Cooperation Council (GCC) and North Africa over the period from 2010 to 2024. To consider differences in bank risk and institutional traits, the study uses random-effects panel regressions along with quantile regression models and interaction specifications. These methods allow the effects of FinTech to change depending on the level of bank risk and the size of the bank. The results indicate that FinTech development does not have the same effect on banks’ distance to default across the board. Some FinTech technologies are linked to greater stability, while others raise default risk. The effects vary between banks that are close to distress and those that are more stable. Additionally, bank size influences the relationship between FinTech and stability. This means that larger banks may experience both stabilizing and destabilizing effects depending on the technology they use. Overall, the findings emphasize the need to consider risk differences and bank characteristics when evaluating the stability effects of FinTech adoption in emerging and developing banking systems.

School

School of Business

Department

Management Department

Degree Name

MS in Finance

Graduation Date

Winter 2-15-2026

Submission Date

1-21-2026

First Advisor

Dr. Rim Cherif

Committee Member 1

Dr. Rim Cherif

Committee Member 2

Dr. Wael Abdalla

Committee Member 3

Dr. Malek Ben Abdellatif

Extent

59 p.

Document Type

Master's Thesis

Institutional Review Board (IRB) Approval

Not necessary for this item

Disclosure of AI Use

Other

Other use of AI

Language Proofreading

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