The impact of the use of information technologies on the globalization of businesses: A comparative study of Zambia and Turkish banking sector

Globalization is the most challenging development in history. It is an increase in the integration of the world economy through the flow of trade and capital, facilitated by the tremendous growth of information technology and the opening of closed economies and societies. Globalization affects almost all industries and the banking industry is no exception. Other factors contributing to the globalization of the banking industry are the emergence of new business models, the emergence of global challenges for banking, and the emergence of new competitors. Globalization has revolutionized the banking industry in both Zambia and Turkey. The globalization of Zambian and Turkish banks has been facilitated by the development of information technology. In this study, the impact of Information Technology (IT) on Zambian and Turkish banking sector globalization from 1992 to 2021 has been investigated. Information Technology investments, foreign bank assets, foreign claims and loans from non-resident banks have been as variables to carry out the analysis. In this study, the ordinary least squares (OLS) method has been adopted. According to the findings, the following recommendations are suggested. First of all, the Zambian banking sector should open more bank branches, especially abroad. It should also find ways to make its electronic services more accessible and install more ATMs, especially in rural areas. Both the banking industry and relevant regulatory agencies should seek to innovate for cheaper and better ways to serve customers of all kinds. The government, through banking sector regulators, the Central Bank of Zambia and the Central Bank of the Republic of Turkey, should encourage banks to financial innovation, but should also closely regulate such developments to ensure the integrity of payment systems. Financial innovation is the driver of economic growth. Both banking sectors should consider lending more to non-resident banks and increasing activities that increase foreign bank assets and foreign receivables, thereby developing the banking sector. It is also recommended that banks ensure that their payment systems are in good condition to avoid system errors and disruptions