<![CDATA[Rural banks face increasing financial and digital risks, yet limited evidence exists on how fintech adoption, risk management, and corporate governance affect their financial performance. This study aims to fill the gap in the existing literature by examining the role of corporate governance in rural banks as one of the organizational mechanisms that can convert the banks’ internal capacities to financial performances. A cross-sectional quantitative survey was conducted among 129 rural banks in Bali, Indonesia, by purposively adopting a saturated sampling technique. Each bank was requested to provide one director and one commissioner. Based on the sampling frame of 129 banks, 258 surveys were distributed. Of those, 242 surveys were file completed. Using PLS-SEM, the data received were analyzed. The results revealed that needs-based risk management positively impacts financial performance. On the contrary, fintech adoption did not exhibit a significant impact on financial performance. Corporate governance systems positively impact the relationships between risk management and financial performance, but do not moderate fintech adoption. This study contributes to the existing literature by adopting the Resource-Based View to demonstrate the asymmetric impact of corporate governance on rural banks' risk-management systems to financial performances, but not positively impact fintech adoption. From a practical viewpoint, rural banks should perceive risk oversight from a governance-based perspective and embrace a combination of adequate digital infrastructure, workforce, integrated systems, and digital-risk governance.]]>
