The Impact of Financial Technology and the Application of the Foundations of Artificial Intelligence on Financial Performance

This research aimed to study the impact of financial technology and the application of the foundations of artificial intelligence on financial performance, by applying it to a sample of Iraqi banks. This research relied on the descriptive and explanatory approach. The research adopted a questionnaire tool to collect data from a random group of Iraqi banking sector employees from various job levels, as the number of respondents to the questionnaire reached 383 people. SPSS 25 and AMOS 24 were used to conduct all data analyses.
The study refined the scales and evaluated the construct's validity and reliability using the following methods: Cronbach's alpha coefficient for measuring validity, and Pearson's correlation coefficient between the item and the total score of the dimension toward measuring validity. The results of simple regression analyses indicate that FinTech has a positive impact on financial performance (β= 0.723, t = 18.092 and p<0.01) and this provides support for the first half “There is a statistically significant impact of FinTech on financial performance”. The results of simple regression analyses indicate that artificial intelligence has a positive impact on financial performance (β = 0.590, t = 15.292, and p < 0.01) and this supports H2 “There is a statistically significant effect of applying the foundations of artificial intelligence on financial performance.” Financial performance.” The results of multiple regression analyses also indicate that financial technology and artificial intelligence have a positive impact on financial performance (β= 0.517, t = 9.612, and p<0.01) and (β= 0.265, t = 5.480, p< 0.01) for artificial intelligence. Supporting H3: “There is a statistically significant impact of financial technology and the application of artificial intelligence principles on financial performance.” The research recommends the necessity of keeping pace with technology that will raise financial performance to the best levels and adopting the foundations of artificial intelligence that help improve performance levels. As a whole, not just financial performance.