Role Of Electronic Banking On The Growth Of Nigerian Economy
Chapter One
Preface
Background Of The Study
Before the emergence of ultramodern banking system, banking operation was manually done which lead to a retardation in agreement of deals. This homemade system involves posting deals from one tally to another which mortal handles. numbers or counting of plutocrat which should be done through computers or electronic machine were reckoned and counted manually which weren’t 100 accurate thereby performing to mortal crimes. utmost bank also use only one computer in carrying out deals which meliorate the sluggish nature of banking sale.
According to Clive,W.( 2007,p. 5) in his Academic wordbook of banking, electronic banking is defined as a form of banking in which finances are transferred through an exchange of electronic signals between fiscal institutions, rather than an exchange of cash, cheques or other negotiable instruments. According to Omotayo,G.( 2007,p. 3) defines electronic banking as a system in which finances are moved between different accounts using computerized on line/ real time systems without the use of written cheques. According to Edet,O.( 2008,p. 1) in transnational Journal of investment and finance, electronic banking is defined as a system by which deals are settled electronically with the use of electronic widgets similar as ATMs, POS outstations, GSM phones, and V- cardse.t.c. handled bye-holders, bank guests, and stake holders.
In the Nigerian financial system, the Central Bank of Nigeria( CBN) is pursuing the cashless banking system that would see theco-existence of cash and electronic plutocrat and the policy document on cashless frugality detailed out the following counteraccusations
Reduction in cash deals to both the banks and their guests;
Expansion in vault cash;
Expansion in the credit creation process;
Expansion in the involvement of the informal sector in the banking process. CBN( 2011)
These counteraccusations follow directly from the face of the policy but there’s the need for a deeper and profitable analysis of the preface of the cashless banking or cashless profitable paradigm and its attendant counteraccusations as far as the attainment of advanced profitable objects are concerned.
Statement Of Problems
There’s detention in payment of cheques which lead to the relinquishment of electronic banking system. Relinquishment of electronic banking which suppose to ease banking deals rather redounded to straits to client. utmost people complain of time wasted in banks. This occurs when there’s power failure in banks performing to decelerate down in operation.
Investing in electronic banking, the country will need a large quantum of fiscal coffers in computer technology, obviously, the resource is in short force in Nigeria, coupled with high position of poverty. For an effective functioning of electronic payment system, there must be vacuity of infrastructural installations similar as electricity and telecommunication network, still, power force fluctuates and there’s still constant failure links in networks. Since early 2000s banks have been developing and introducing payment cards for their guests as well as emplace ATM’s cards. operation was still low due to lack of interconnectivity i.e. switching platform to interconnect the ATM’s for card holders.
Objects Of The Study
This exploration work intends to assess the extent of electronic payment in banking conditioning as well as identify the colorful types of electronic banking.
The experimenter will also estimate the major problems associated with the development of electronic banking system in Nigeria as well as estimate possible results to these problems.
The effect of electronic banking on profitability of banks will also be assessed. There are different types of electronic banking used in Nigeria banks; the experimenter will like to estimate the impact of thesee-payment systems on banking assiduity and also assess the impact of electronic banking in Nigeria frugality.
Exploration Question
In order to get information from repliers the following questions were formulated
What’s the part ofe-banking on the growth of Nigerian frugality?
What are the colorful types of electronic payment and the extent of electronic payment in banking conditioning?
To what extent cane-banking ameliorate or enhance banking services?
What are the major problems associated with the development of electronic banking system in Nigerian?
What are the results to the problems associated with the development ofe-banking?
To what extent hase-payment affected banking conditioning?
What are the benefits of Bank Verification Number( BVN)?
Significance Of The Study
Electronic banking in our frugality moment is a welcome development and also its impacts in the society are over-whelming, so this exploration is significant in so numerous ways.
It’ll expose the strength and weakness of electronic banking.
It’ll motivate banks and other profitable agents to computerize their services.
Knowledge in the area of electronic banking will be advanced.
piecemeal from contributing to the knowledge of electronic banking, it forms a reference for unborn exploration in this area.
Compass And Limitations Of The Study
This exploration is on the part of electronic banking on the growth of Nigerian Frugality using UBA Ikot Ekpene as a case study and also it covers the colorful forms of payment and electronic systems used by banks.
In the course of carrying out the study, some challenges were encountered by the experimenter that stood as limitation to the study and they include
fiscal Factor shy finances affected experimenter had to travel long distances for the distribution of the exploration questionnaire forms.
Time Factor This affected the reduction in the size of the sample used for the study because the experimenter had only lower than two months to complete the study.
Material Factor deficit of applicable material for literature review posed.
Association Of The Study
This exploration work is organized into five chapters. Chapter one is concerned with the preface of the exploration study and it presents the overtures, theoretical background, statement of the problem, end and objects of the study, significance of the study, compass of the study, association of the exploration and description of terms.
Chapter two focuses on the literature review, the benefactions of other scholars on the subject matter is bandied.
Chapter three is concerned with the system analysis and design. It presents the exploration methodology used in the development of the system, it analyzes the present system to identify the problems and provides information on the advantages and disadvantages of the proposed system. The system design is also presented in this chapter.
Chapter four presents the system perpetration and attestation, the choice of programming language, analysis of modules, choice of programming language and system conditions for perpetration.
Chapter five focuses on the summary, constraints of the study, conclusion and recommendations are handed in this chapter grounded on the study carried out.
Description Of Terms
Bank Business that keeps plutocrat for individual people or companies, exchanges currencies, makes loans, and offers other fiscal services
Cashless Using an electronic means of swapping plutocrat rather of dealing in cash
Cashless Society Society that doesn’t use cash a theoretical society in which consumers buy all goods and services by credit card or electronic finances transfer, without the use of cash.
Electronic Banking The use of computers and affiliated networks bias to carry out transfers of plutocrat and other banking deals.
Government A group of people who have the power to make and apply laws for a country or area.