An Assesment of E-Banking Practice: The Case of Nib International Bank (Lideta, Balicha Aba Nefso and Tekilehaymanot Branches)

Abstract

Despite the growth of e-banking adoption in Ethiopia, banks continue to conduct most of their banking transaction using traditional method. The general objective of this study was to assess e-banking practices in Nib International Bank from the angle of general driving force, level of infrastructure, network, acceptance by society etc. We used both primary and secondary data collection methods to collect data from customer service and IT management of the Bank. The collected data was analyzed using descriptive research methods such as tabulation of percentage. Among the different opportunities that initiate banks to adopt e-banking services: Improving customer services, Facilitating the work to be done fast, helping to facilitate work with minimum error, Simplifying the activity of employees of the bank in the delivery of services to customers, Enhancing the image of the bank, improving efficiency, reducing paper work, reducing queues in the hall, Increasing Revenues of the bank, reduction of cost, and improving relationship with customers. It also investigated the major challenges for the electronic banking services in commercial bank of Ethiopia as of infrastructural, legal and regulatory, socio-cultural, and illiteracy related challenges. To address various challenges identified on the study, the study suggests a series of measures which could be taken by government as well as NIB International bank of Ethiopia.