Banking Innovation in the Covid-19 Era: The Role of Transformational Leadership and Knowledge Sharing

Abstract

The consequences of the Covid-19 pandemic have brought many challenges for the financial sector. Banks are strongly required to introduce stimulus financial, business, and operational implications to prove their value to society. Therefore, this paper aims to discuss the role of transformational leadership and knowledge sharing in boosting banking on innovation in the Covid-19 era. Thirty-two in-depth interviews were conducted with bankers working in 15 leading banks in Lebanon. Content analysis was used to investigate the research aims. The findings highlight that developing a knowledge-sharing culture by leaders exhibiting transformational behavior have a powerful and reinforcing influence on generating new ideas, products, and processes. Leaders allow knowledge sharing on improving and expanding online and digital banking services to further streamline banking operations during the pandemic. Research implications and directions for future research are presented.