The impact of diversification of banking services on financial results

Abstract

The modern banking business is undergoing significant changes due to innovative modernization and increased competition in the market, which makes the bank's management and managers think about improving in order to neutralize risks and avoid crisis situations. One of the areas of sustainability of a commercial bank is the diversification of banking services. Despite the importance of this research topic, there are no practical studies in the modern literature on banking regarding the impact of diversification of banking services on financial results. Despite the importance of this research topic, there are no practical studies in the modern literature on banking regarding the impact of diversification of banking services on financial results. The article provides a comparative analysis of the income structure of JSC "Halyk Bank of Kazakhstan" and JSC "KaspiBank" for 2019-2021, with the determination of the optimal structure of banking services that allows you to get the maximum profit. The profitability indicators of the two banks were calculated and, as a result of the comparative characteristics, the most profitable business model was determined.