Affiliations:
Banking and Insurance Department, Academy of Finance, Hanoi, Vietnam
In this study, we examined publicly listed commercial banks in Vietnam from 2014 to 2020 to investigate whether technology development has a non-linear effect on bank efficiency. We measured bank efficiency using Data Envelopment Analysis (DEA). The level of technological development was assessed using the Information Communication Technology (ICT) Index, which is published annually by the Vietnamese government. Consistent with our expectations, the results show an inverted U-shaped relationship between technological development and bank efficiency. This finding provides important insights for banks when planning and allocating their budgets for information and technology investments, particularly in the context of increasing digitalization in the banking sector.
Bank efficiency, Technology development, Data Envelopment Analysis, ICT index, Digitalization
https://doi.org/10.21833/ijaas.2026.01.009
Tran, L. T., La, L. T., Hoang, H. B. T., & Ho, A. Q. (2026). The impact of information technology adoption on bank efficiency: Evidence from listed Vietnamese banks. International Journal of Advanced and Applied Sciences, 13(1), 84–90. https://doi.org/10.21833/ijaas.2026.01.009