Abstract:

The study investigated effect electronic banking on financial performance of money deposit banks in Nigeria. The objective was to find out the contributions of web banking, Remita, automatic teller machine, National Electronic Fund Transfer, point of sale and Ebillspay on financial performance of Money Deposit banks in Nigeria. The data for the study was secondary gotten from Central bank of Nigeria (CBN) statistical Bulletin, National Bureau of Statistics bulletin and financial reports for  seven years from 2011- 2017. Research design for the study is ex-post facto and Least square multiple regression was adopted with help of e-view 9 to test the hypothesis in the study and outcome of the study unveiled that ATM, POS and WEB BANKING to have a significant but negative relationship with financial performance, while NEFT, REMITA, and EBILLSPAY were shown to have positive but insignificant association with financial performance of the banks in Nigeria. We conclude that there is a significant and positive relationship between electronic payments channels and financial performance of the banks in Nigeria. Those banks in Nigeria should educate their customers on the use of Ebillspay and National Electronic Fund Transfer as it is the most poorly used among the others.