Abstract
The systematic review aims to systematically review the effect of financial innovation on the financial performance of commercial banks in Ethiopia from 2015 to 2024. Utilizing the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) framework, the review meticulously identifies, screens, and selects relevant studies to provide a comprehensive synthesis of existing literature. The study revealed that financial innovation (ATM, mobile banking, internet banking and debit cards) are frequently explained and significantly influencing the financial performance of commercial banks in Ethiopia. The findings reveal a growing but uneven interest in financial innovation research, with a predominance of empirical studies and limited theoretical frameworks. The review highlights significant knowledge gaps and suggests directions for future research to enhance understanding and application of financial innovations in the Ethiopian banking sector.
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