ASSESSMENT ON THE CHALLENGES AND PROSPECT OF E-BANKING: IN THE CASE OF COMMERCIAL BANK OF ETHIOPIA.

Abstract

This study attempts to understand and evaluate the challenges and prospects electronic banking facilities in commercial bank of Ethiopia. Bank employees and customers of commercial bank of Ethiopia were the primary source of data for working this paper and to adopt Qualitative research approach through the review of existing literature and the experiences of the researcher in respect of the E-banking system in commercial bank of Ethiopia. Data is presented through tables, graphs, pie charts and figures. The study identified attitudes of customers and staffs, challenges, prospects and overall performance of commercial bank of Ethiopia. As per the findings of this study it is observed that prospects include: excellent Banking transactions can be performed from the comfort of the home or office or from the place a customer‘s wants to, e-banking is the best means to reduce customer over load, E-banking technology helps customer for quickly access account, reduces time spending in the bank and other services and E-banking service is better managing of financial transaction. According to findings the challenges include: customers Lack of awareness on the benefits of new technologies related with electronic banking, not literate enough to understand the usage of e-banking service, network and electric power interruption and Languages are an obstacle to use electronic-banking. The study suggests a series of measures which could be taken by the commercial bank of Ethiopia. The measures include, detail training of employees about e-banking, localize language for his customers, internalize electric and network problems, and familiarize their customers with the processes and benefits of the system.