Factors Affecting Adoption of Electronic Banking System in Banking Industry: A Case of Oromia International Bank S.C.

Abstract

E-Banking technology is still at infant stage in Ethiopia compared to the rest of the world. In Ethiopia Cash is still the most dominant medium of exchange. This study was aimed to assess factor affecting adoption of e-banking system in Oromia International Bank. The study was conducted based on the data gathered from Oromia International Bank E-Banking and ICT Department. Mixed research approach was used to answer the research questions that emerge through the review of existing literature and the experiences of the researcher in respect of the adoption E-banking system in Oromia International Bank. Questionnaire was conducted to collect the data and explanatory research design was applied. The study used descriptive statistics and Data processed using a statistical package for social sciences (SPSS) 20 version to regression analysis was used to test the effect of determining factors on the adoption of e-banking system .Pearson correlations have been used to examine relationship of three hypotheses. Result of the study is presented and the study suggests a series of measures which could be taken by the bank (OIB) and by government to address various factors affecting adoption of e-banking systems.