THE ECONOMIC IMPLICATIONS OF ELECTRONIC BANKING IN NIGERIAN BANKS

ABSTRACT: This study was carried out on the economic implications of electronic banking in Nigerian banks using Diamond Bank as a case study. The study was specifically carried out to assess the extent of electronic payment in banking activities as well as identify the various types of electronic banking, evaluate the major problems associated with the development of electronic banking system in Nigeria as well as evaluate possible solutions to these problems, examine the effect of electronic banking on profitability of banks, and identify the different types of electronic banking used in Nigeria banks. The survey design was adopted and the simple random sampling techniques were employed in this study. The population size comprised of staff of Diamond Bank. In determining the sample size, the researcher conveniently selected 80 respondents and 70 were validated. Self-constructed and validated questionnaire was used for data collection. The collected and validated questionnaires were analyzed using frequency tables, while the hypotheses was tested using Chi-square Statistical tool. The result of the findings reveals that E-banking has an economic implications in Nigeria. Therefore, it is recommended that skilled manpower and computer wizard should be employed by every Bank, in other to stop, prevent fraudulent personal and hackers from manipulating the Banks data and stealing money from the Banks accounts. In smooth functioning of the payment system the government have the major role to play, in aspect of financing the payment system which require a lot of capital to maintain and also in the aspect of creating awareness the government should endeavor to inform the public about the benefits derived on the payment system. To mention but a few.