IMPACT OF INFORMATION AND COMMUNICATION TECHNOLOGY ON THE FINANCIAL PERFORMANCE OF SELECTED DEPOSIT MONEY BANKS IN NIGERIA
ABSTRACT
THIS RESEARCH PROJECT HAD THE PURPOSE OF FINDING THE IMPACT OF INFORMATION COMMUNICATION TECHNOLOGY ON FINANCIAL PERFORMANCE OF DEPOSIT MONEY BANKS IN NIGERIA. INFORMATION AND COMMUNICATION TECHNOLOGY IS IMPORTANT TO THE BANKING INDUSTRY IN NIGERIA. THE BANKING SECTOR IS VITAL FOR THE GROWTH OF ECONOMY OF A NATION. QUALITATIVE RESEARCH DESIGN WAS EMPLOYED IN THIS STUDY. THE POPULATION OF STUDY WAS THE 43 REGISTERED DEPOSIT MONEY BANKS IN NIGERIA. DATA COLLECTION SHEET WAS USED AS THE INSTRUMENT OF DATA COLLECTION. THE INFORMATION WAS GATHERED FROM THE AUDITED FINANCIAL REPORT WHICH WERE READILY AVAILABLE AT THE CENTRAL BANK OF NIGERIA. SPPS AND EXCEL WERE USED TO ANALYZE THE DATA COLLECTED. THE RESEARCH DISCOVERED THAT INFORMATION COMMUNICATION TECHNOLOGY HAS IMPROVED THE FINANCIAL PERFORMANCE OF DEPOSIT MONEY BANKS IN NIGERIA. AS A RESULTS THE MARKET SHARE HAS BEEN INCREASED PLUS IT HAS ASSISTED THE DEPOSIT MONEY BANKS TO REMAIN COMPETITIVE. INFORMATION COMMUNICATION TECHNOLOGY ALSO ASSISTS TO IMPROVE THE LIQUIDITY OF COMMERCIAL WHICH LOWERS DEPENDABILITY OF DEPOSITORS THEREFOR IMPROVING ON EARNINGS AND RETURN. THIS HELPS IMPROVE OF EFFICIENCY AND PROFITABILITY OF THE DEPOSIT MONEY BANKS ESPECIALLY IN THE EMERGING BANKS. THE STUDY DISCOVERED THERE IS NEED TO INVEST MORE ON INFORMATION COMMUNICATION SO AS TO INCREASE THE DEPOSIT MONEY BANKS FINANCIAL PERFORMANCE. THE FAST PACE GROWTH AND DEVELOPMENT OF INFORMATION COMMUNICATION TECHNOLOGY IN THE NIGERIA BANKING SECTOR HAS RESULTED INTO IMPROVEMENT IN EFFICIENCY IN OPERATION AND ALSO IN SERVICE DELIVERY. DEPOSIT MONEY BANKS HAVE BECOME COMPETITIVE BY ENHANCING STAFF TRAINING AND GROWTH AS WELL AS RESEARCH AND DEVELOPMENT IN TECHNOLOGY. THUS THE STUDY CONCLUDES THAT AMONG THE ICT EMPLOYED BY DEPOSIT MONEY BANKS, MOBILE BANKING HAD THE MOST POSITIVE INFLUENCE ON THE FINANCIAL PERFORMANCE.BASED ON THE STUDY FINDINGS, THE STUDY RECOMMEND THAT DEPOSIT MONEY BANKS SHOULD REDUCE INVESTMENT IN ATMS AND INTERNET BANKING AS THIS WAS FOUND TO HAVE NEGATIVE INFLUENCE ON FINANCIAL PERFORMANCE. IN THIS CASE THEREFORE THE RESEARCHER RECOMMENDS THAT DEPOSIT MONEY BANKS SHOULD KEEP INVESTING AND ALSO USING THE MOBILE BANKING IN THEIR DAILY OPERATIONS. THIS IS DUE TO THE FACT THAT THE PEOPLE WHO OWNS MOBILE PHONES ARE INCREASING DAY BY DAY.
IMPACT OF INFORMATION AND COMMUNICATION TECHNOLOGY ON THE FINANCIAL PERFORMANCE OF SELECTED DEPOSIT MONEY BANKS IN NIGERIA
