Impact Of Internet Banking On The Performance Of Nigerian Banks:- Okoronkwo, Sussan C

ABSTRACT

This study examines the impact ofinternet banking on bank performance in Nigeria. This study specifically examines the long andshort run effectfrom internet transactions and mobilepayment transactions on liquidity ratio of banks in Nigeria. The study adopted ex post facto research design. A monthly time series data from January 2009 to June 2017 was usedfor the econometric analysis. Johansen Co-integration Test, Vector Error correction model, and Wald test were used to estimate the long and short run effect. Econometrics Views (Eviews) version 8.0 statistical Package was usedfor the analysis. The study reveals that there is a significant long-run effect from internet transactions and mobile transactions to bank liquidity in Nigeria. Secondly, there is a significant short-run effectfrom internet transactions to bank liquidity in Nigeria but failed to establish a significant short-run effectfrom mobile transactions to bank liquidity in Nigeria. The study recommends among other things that banks should intensify effort to update and secure the internet transactions for continuous and improved long term benefits. Moreover, the Nigerian banks should improve the awareness and security ofthe mobile payment system to encourage user to reliably make paymentsfrom the mobile phon