ABSTRACT
Electronic banking has become an important practice among commercial banks in Nigeria. The introduction of this electronic banking helps improve banking efficiency in rendering services to customer, it was in line with this that the study aim at examine the impact of electronic banking in Nigeria. Questionnaire was employed in the course of gathering data for the study and administered on to employees, while chi-square was used in data analysis. The result indicated that, modern e-banking has contributed greatly to the growth and development of banks. The bank has an effective electronic banking which has improve its customer’s relationship and satisfaction. The study concludes that for the efficient operations of banking services, modern e-banking technology is necessary and recommends among others, the training of staff to acquire the modern tools of e-banking, bank management addressing the problem of power supply in their organisations, wide area network, electronic file transfer, intensification of enlightenment programmes, and others, for the necessary legal codes banking should be established in order to enhanced growth of the industry in the country.
TABLE OF CONTENTS
Title page i
Certification ii
Dedication iii
Acknowledgement iv
Abstract v
Table of contents vi
CHAPTER ONE – INTRODUCTION
Background of the study 1
Statement of the problem 6
Objective of the study 7
Research question 8
Research hypothesis 8
Significance of the study 9
Scope of the study 10
Limitation of the study 10
CHAPTER TWO – LITERATURE REVIEW
2.1 Introduction 11
2.2 The view on electronic banking 12
2.3 Electronic Banking 14
2.4 The entry of Nigeria Banking into Electronic Banking 14
2.5 The Regulatory Challenges 15
2.6 Electronic Banking profitability and efficiency 15
2.7 Bank customer relationship 16
CHAPTER THREE – RESEARCH METHODOLOGY
3.1 Introduction 17
3.2 Population of study 17
3.3 Sampling techniques 17
3.4 Sample size 17
3.5 Source of Data 17
3.6 Method of data analysis 18
3.6.1 Personal interview method 18
3.6.2 Validity and reliability of the research instrument 19
3.7 Validity of the research instrument 19
3.8 Reliability of the research instrument 19
3.8.1 Test of hypotheses and inference 20
3.8.2 Decision rule and justification 20
CHAPTER FOUR – DATA ANALYSIS, RESULT AND DISCUSSION
4.1 Introduction 21
4.2 Decision Rule 25
CHAPTER FIVE – SUMMARY, FINDINGS, CONCLUSION AND RECOMMENDATION
5.1 Summary 26
5.2 Findings 26
5.3 Conclusion 26
5.4 Recommendation 28
Reference
Appendix
CHAPTER ONE
INTRODUCTION
BACKGROUND OF THE STUDY
The new millennium brought with it new possibilities interms of information access and availability simultaneously, introducing new challenges in protecting sensitive information from someone eyes while making it available to others. Today’s business environment is extremely dynamic and experience rapid changes as a result of technological improvement, increased awareness and demands Banks to serve their customers electronically. Banks have traditionally been in the forefront of harnessing technology to improve their product and services.
The Banking industry of the 21stcentury operates in a complex and competitive environment characterized by these changing conditions and highly unpredictable economic climate. Information and communication technology (ICT) is at the centre of this global change curve of electronic banking economy in Nigeria today. (Stevens 2002). Assert that they have over the time, been using electronic and telecommunication networks for delivering a wide range of value added products and services, managers in banking industry in Nigeria cannot ignore information system because they play a critical impact in current Banking System, they point out that the entire cash flow of most fortune Banks are linked to information system.
The application of information and communication technology concepts, techniques, policies and implementation strategies to banking services has become a subject of fundamental importance and concerns to all banks and indeed a prerequisite for local and global competitiveness banking.
The advancement in technology has played an important role in improving service delivery standards in the banking industry. In its simplest form, Automated Teller Machines (ATMs) and deposit machines now allow consumers carry out banking transactions beyond banking hours. With online banking, individuals can check their account balance and make payments without having to go to the bank hall.
This is gradually creating a cashless society where consumers no longer have to pay for all their purchases with hand cash. For example: bank customers can pay for airline tickets and subscribe to initial public offerings by transferring the money directly from their account, or pay for various goods and services by electronic transfers of credit to the sellers account. As most people now mobile phones, banks have also introduced mobile banking to cater for customers who are always on the move. Mobile banking allows individuals to check their account balances and make fund transfers using their mobile phones. This was popularized by First Atlantic Bank (now First Inland Bank) through its “Flash me cash” product customers can also recharge their mobile phones via SMS. The delivery channels to day in Nigeria electronic banking are quite numerous has it is mentioned here Automatic Teller Machine (ATM), Point of Sales (POS), Telephone Banking, Smart cards, Internet Banking etc personal computers in the banking industry was first introduced into Nigeria by society general bank as the popular PC easy access to the internet world wide web (www) and internet is increasingly used by Banks as a channel of delivering the products and services to the all banks in Nigeria have a web presence; this form of Banking is referred to as internet Banking which is generally part of electronic Banking. The delivery of products by banks on public domains is an indication of advertisement which is known as e-commerce. Electronic commerce on the other hand is a general term for any the internet. This covers a range of different types of business from consumers to retails products. However, electronic banking as it is; is a product of e-commerce in the field of banking and financial services. It’s offers different online services like balance enquiry, request for cheque books, recording stop payment instructions, balance transfer instructions, account opening and other form of traditional banking services. The internet allows business to use information more effectively, by allowing customers suppliers, employees and partners to get access to the business information they need, when they need it.
These internets – enabled services all to translate to reduced cost: there are less overhead, greater economies of scale, and increased efficiency. E-Banking greatest promise is timelier, more valuable information accessible to mere people, at reduced cost of information access. With the changes in business operations as a result of the internet era, security concerns more from computer labs to the front page of newspapers. The promise of e-banking is offset by the security challenges associated with the disintermediation of data access. One security challenges results from “cutting out the middleman” that too often cuts out the information security the middleman provides. Another is the expansion of the user community from a small group of know, vetted users accessing data from the intranet, to thousands of users accessing data from the internet. Application Service Provides (ASP) and exchange offer especially stringent and sometimes contradictory – requirements of per user and per customer security, while allowing secure data sharing among communities of interest. E-banking depends on providing customers, partners, and employee with access to information, in a way that is controlled and secure. Technology must provide security to meet the challenges encountered by e-banking. Virtually all software and hardware vendors claim to build secure products, but what assurance does it – e-banking have of a product’s security? E-banking want a clear answer to the conflicting security claims they hear from vendors. How can you be confident about the security into a product? Independent security evaluation against internationally – established security criteria provide assurance of vendors security claims.
Security criteria provide assurance of vendors security claims.
Customer expectation, in terms of service delivery and other key factors have increased dramatically in recent years, as a result of the promise and delivery of the internet-even after the “dot-com crash” these raised expectations linger.
