Impact of e-banking on bank productivity in Nigeria

Abstract

Electronic banking's quick uptake has changed how banks function and interact with their clients, revolutionizing the worldwide financial services industry. This study looks into how Nigerian banks' productivity is affected by electronic banking technology, such as internet banking, mobile banking, point of sale systems, and automated teller machines. There is continuous discussion about their actual impact on financial performance, even though they are widely used. The study, which uses data from 2012 to 2024 and using sophisticated statistical methods, concludes that increased productivity is closely correlated with growth in total bank deposits. When other factors are taken into account, however, the implementation of particular electronic banking systems by itself does not always result in increased productivity. In order to achieve efficiency advantages, these findings imply that infrastructure upgrades, personnel training, and efficient management must be implemented in addition to technology adoption. Future research into dynamic models and contextual drivers of digital transformation is encouraged by the study, which also suggests strategic integration of electronic financial services backed by regulatory measures to optimize their benefits.