The Impact of Smartphones and Fixed Phones on Financial Development: A Case Study on Jordan During the Period 2008-2021

Abstract

This study aims to analyze the impact of smartphones and fixed phones on the financial development of Jordan, and the independent variables (smartphones and fixed phones). The current study relied on data provided by the Department of Statistics. Indicators of financial development were sourced from the CBJ data. Statistical analysis was performed using electronic opinion software. Results showed a statistically significant positive relationship between individuals’ smartphones and fixed phones and the financial development index (i.e., ratio of money supply to GDP). Moreover, there was a statistically significant positive relationship between smartphones and the financial development index (i.e., deposits to GDP), but fixed phones have no effect on the financial development index (i.e., deposits to GDP). Individuals owning smartphones have a strong positive impact on financial development. The reasons include the high-tech nature of mobile phones and their general wide use in financial applications and financial technologies One of the key recommendations of the study is that financial and economic authorities should collaborate with the Ministry of Digital Economy to enhance the use of smartphones in the banking system, improve digital infrastructure, and provide comprehensive coverage for smartphones and the Internet.