THE EFFECT OF INFORMATION COMMUNICATION TECHNOLOGY AND FINANCIAL INNOVATION ON PERFORMANCE ON NIGERIAN COMMERCIAL BANKS (2001 – 2013)

Abstract

This study examined the Impact of Information and Communication Technology and financial innovation on the performance of commercial banks in Nigeria, using conveniently selected eleven Commercial Banks in the country. The study used the banks’ annual data and Central Bank of Nigeria facts book over the period 2001 to 2013. The study applied ordinary least square (OLS) in its analysis to ascertain the impact of E-Banking services and ATM on the performance of commercial banks in Nigeria. The findings of the study indicate that an increase in banks’ profitability performance increases commercial banks’ Return on Equity (ROE). Investments in e banking services and ATMs do not really improve banks’ performance. The study recommends among other things that more emphasis should be on corporate governance and policies that will increase proper and efficient utilization of financial innovation gadgets rather than simply acquiring additional investments.