Global Journal of Management and Business Research, A: Administration and Management, Volume 22 Issue 7

information technology to bring about low value added transaction such as bill payment and balance inquiries process through online network. Currently, almost commercial banks in country have customized payment platform like debit and credit cards as well as operation of ATM switch networking systems (Oyewole et al. 2013). This evolution which commenced in the early 2000s was characterized with the prevalent adoption of electronic banking by almost all the banks in Nigeria in view of the cashless policy of the Central Bank of Nigeria and the emergence of technological innovations in the banking industry. Today, Nigeria banking industry has been characterized by the deployment of ATMs, internet, phones and Point of Sale (POS) as electronic payment tools (Okoro, 2014). Innovations and investments in high tech IT applications and business models have no doubt improved banking service greatly and also provided for efficiency and safety in payment systems through innovative payment solutions such as web pay channels, Point of sale terminals, ATM etc. Babatunde and Salawudeen (2017) opines that Nigerian banks have no doubt invested much on technology; and have widely adopted electronic and telecommunication networks for delivering a wide range of value added products and services. They have in the last few years transformed from HE manual to automated systems. Unlike before when ledge cards were used, today banking has been connected to information technology networks, thereby facilitating the practice of inter- banking and inter branch banking transactions Like it is all over the world, the banking sector plays a vital role in the entire financial system in Nigeria. This study therefore seek to understand the relation between of the economic growth and e-banking.in Nigeria. II. L iterature R eview a) Empirical review Amos, Umar, Busari, Ekpe, and Kolawale (2020) examined the effect of electronic banking on bank performance in Nigeria. The study utilized secondary data derived from the audited annual financial statement of the deposit money bank quoted on the Nigeria stock exchange from 2008 to 2017. The study also made use of journals, textbooks, Nigeria stock exchange fact books, the Central Bank of Nigeria (CBN) Bullion and other published materials using the multiple regression analysis techniques, the finding reveal that c-banking measured by return on equity (ROE), return on asset (ROA), and earning per share (EPS) has no significant impact on the performance of deposit money banks in Nigeria. The study recommended that for effectiveness of electronic banking, there should be rigorous campaign and awareness for clients to patronize the facilities. Amu, Nathaniel, and Nwezeaku (2016) studied the relationship between electronic banking and the performance of Nigerian commercial banks. Electronic proxied by customers’ deposits. Engle-Granger co- integration model was used to analyse data for the sample period January 2009 to December 2013. The results show that POS is not co-integrated with both the savings and time deposits but are co-integrated with demand deposits. It is recommended that the monetary authorities and commercial banks should embark on an all inclusive enlightenment campaign for the banking public on the benefits, convenience and importance of adopting ebanking channels in completing their transactions. Ogbeide, Nwamaka, and Ishiuwu (n.d.) examined the impact of electronic banking on economic growth in Nigeria. It further determined if there exists a long-run relationship between c-banking and economic growth in Nigeria employing the Auto-regressive Distributed Lag (ARDL) bond testing technique. Economic growth (RGDP) was regressed on some measures of e-banking (Automated Teller machine, Mobile banking, Web banking and Point on Sales Terminal) for the period 2009 to 2014 quarterly data. The Pairwise Granger Causality test was also adopted to determine the direction of causality. The results of the study showed that c-banking had significant impact on economic growth. ATMs and MB were found to have a positive impact on economic growth while POS and WB showed a negative impact. One naira increase in the use of ATM and MB leads to 4.2489 and 19.8707 increases in RGDP respectively while one naira increase in POS and WB leads to 15.262 and 53.757 naira fall in RGDP. The result of the study further showed that there is a long-run relationship between ebanking and economic growth and that c-banking Granger causes economic growth in Nigeria. The study thus recommended the improvement of the technological base of the country and policy measures to encourage the efficient performance of the banking sector as well as a regulation and control of the banking activities. Ozsoz, and Helvacioglu (2008) studied the impact of internet banking on the performance of commercial banks in Turkey from 1996 to 2000. A sample of 14 was adopted for this study. Commercial banks profitability measures include return on assets (ROA), Margin of Interest, return on equity (ROE) which served as the dependent variables. Findings revealed that in the first year of adopting internet banking, there was no positive performance between internet banking and profitability of commercial banks. While in the second and subsequent years. Some improvements in performance were seen such that return on equity (ROE) had a positive and significant relationship with internet banking. However, return on assets (ROA) had a positive but insignificant relationship with internet banking. An Empirical Investigation into the Impact of Electronic Banking on the Economic Growth of Nigeria 34 Global Journal of Management and Business Research Volume XXII Issue VII Version I Year 2022 ( ) A © 2022 Global Journals