Integrating Emerging Technologies for Sustainable Banking: Insights into Digital Transformation amid the Digital Divide

Omar Alshamesti; Noormaizatul Akmar binti Ishak; Juraini Zainol Abidin

doi:10.58915/aset.v5i1.3203

Authors

Omar Alshamesti Palestine Technical University–Kadoorie
Noormaizatul Akmar binti Ishak Universiti Malaysia Perlis
Juraini Zainol Abidin Universiti Malaysia Perlis

DOI:

https://doi.org/10.58915/aset.v5i1.3203

Keywords:

Digital Transformation, Banking Sustainability, Artificial Intelligence, Blockchain, Cloud Computing, Green Fintech, Digital Divide

Abstract

Digital transformation in the banking sector has changed the banking operations by improving operational efficiency, strengthening transparency, and supporting sustainable practices. Leveraging technologies such as artificial intelligence, cloud computing, green financial technologies, and blockchain promotes sustainability goals and helps tackle ongoing challenges arising from the digital divide. Despite the increasing adoption of emerging technologies in the banking sector, their contribution to fostering sustainability is still hindered by limitations arising from digital divide barriers, such as digital skills gaps, infrastructure constraints, and an unclear regulatory framework. This study evaluates the moderating role of this limitation on the relationship between innovative technologies and digital transformation sustainability in the developing countries' context, particularly in Palestine. This study utilizes a qualitative research method to address the research problem by developing semi-structured interviews with leaders from sustainability and information technology departments, in which the collected data are thematically analyzed. The thematic analysis extracted four major themes from the collected data: operational efficiency using AI, trust and integrity using Blockchain, scalability using cloud computing, and a sustainable system using green financial technologies. indicate that the emergence of advanced digital transformation strategies remains constrained by the digital divide. The study proposes a context model to foster banking sustainability in developing countries, while acknowledging the digital divide as a significant moderator. The study also concluded that the emergence of digital strategy can successfully align technology with sustainability, using the lens of the Technology–Organization–Environment framework and Digital Divide Theory.

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