Project Materials





This study was on electronic banking and the purpose of carrying out this research was to assess the impact of electronic banking on commercial banks’ operations.  In the review of related literature, the research covered such areas as the meaning of electronic banking, the origin of electronic banking the meaning of computers, the relevance banking products, and its relevance to electronic banking.  Finally, the research concluded with problems and solutions associated with electronic banking… (Scroll down for the link to get the Complete Chapter One to Five Project Material)



Background of Study

The Nigeria banking industry has witnessed a lot of changes since the mid-1980s and this is reflected in the increased volume and complexity of bank operations, increased innovations, and varieties in product and service delivery. This development has not only been technology-driven but has influenced move technological advances.

Information technology which is the foundation of modern electronic banking through desktop computers and terminals provide the tools for delivery of new products and innovations characterized by ATM’s cash dispensers, credit, and cash card, information technology through electronic banking is radically changing how banking is done all over the world. The volume and speed of banking transactions have improved tremendously as a reject of the growth of electronic banking which has created a lot of changes and business opportunities for banks.

What used to be termed electronic data processing has been transformed into electronic banking through information technology. The change in terminology reflects an equivalent transformation of the use of the computer from automation of paper flow to a reduction in unit cost the replacement of manual with computer processing to today’s focus on electronic product and service delivery which has become the underlying ethos in today’s banking with a shift in adopting to a  consumers market.

Electronic banking through IT has created an unparalleled wired economy. The transfer of money from point “A” to point “B” has resulted in turning the actual money into bits and bytes through satellite, fiber optic, cable, or regular telephone lines. Aladesulu (1998)… (Scroll down for the link to get the Complete Chapter One to Five Project Material)

Statement of Problem

Banks since the inception of the use of electronic banking products in the late 1980s have not made their presence felt much. These are as a result of problems associated with the use of electronic banking which includes;

  • Cost of Ownership and Adoption:

Electronic banking is very expensive because it entails the acquisition of computers, telecommunication gadgets. Banks spend a lot on these products because of the exchange rate between the naira and the dollar… (Scroll down for the link to get the Complete Chapter One to Five Project Material)

Research Objectives

The main or primary objective of this study is to identify the impact of electronic banking since its inception on the provision of better and efficient services to bank customers. In order to achieve the primary objective above, there are other secondary objectives whose achievement wine result in the achievement of the overall objective… (Scroll down for the link to get the Complete Chapter One to Five Project Material)




The electronic banking system is a conventional banking system stated in Nigeria in 1952; (Benjamin 2001). Since then, the industry has witnessed a lot of regulatory and institutional advances. The industry was being controlled by at most five out the 89 banks in existence before the commencement of the merger and acquisition of banks in Nigeria’s economy. Multiple branch systems are also one of the notable features of Nigerian Banks, with a total of 89 banks accounting for about 3017 bank branches nationwide as of 2004. As well, the industry was faced with heavy challenges including the overbearing impact of fraud and corruption.

Erosion in public confidence, a poor capital base, persistent cases of distress and failure of poor asset quality, and so on. Part of the moves to resolve these lingering problems includes the banking reform initiated by the Central Bank of Nigeria in June 2004, which is largely targeted at reducing the number of banks in the economy and making the emerging banks much stronger and reliable… (Scroll down for the link to get the Complete Chapter One to Five Project Material)

The View on Electronic Banking

The vast majority of the recent literature on electronic money and banking suffers from a narrow focus. It generally ignores electronic banking entirely and equates electronic money with the substitution of currency through electronic gadgets such as smart cards and virtual currency.  For example, Freedman (2000) proposes that electronic banking and electronic money consist of three devices; access devices, stored value cards, and network money.

Electronic banking is simply the use of new access devices and is therefore ignored. Electronic money then is the sum of stored value (smart) cards and network money (value stored on computer hard drives). What is most fascinating and revealing about this apparently popular view is that electronic banking and electronic money are no longer functions or processes, but devices… (Scroll down for the link to get the Complete Chapter One to Five Project Material)

  • Electronic Banking and Common Banking Products

The use of information technology in banking operations is called electronic banking Ovia (2001) argued that Electronic banking is a product of e-commerce in the field of banking and financial services. In what can be described as the Business-to-consumer (B2C) domain for balance inquiry, request for checkbooks, recording stop payment instruction, balance transfer instruction, account opening, and other forms of traditional banking services. Banks are also offering payment services on behalf of their customer who shops in different e-shops.

  • Telephone and PC Banking Products

This is a  facility that enables customers, via telephone calls, to find out about their position, with their bankers merely dialing the telephone numbers given to them by the banks. In addition, the computers on the phone would require special codes given to the customers as a means of identification of authentic users before they can receive any information they requested.

This is a service introduced into the banking balance as a result of computer telephone technology being made available Ovia (2001). The technology banking has a  universe of possible application limited only by the imagination. These areas include: Account balance inquiry; Account statement printing; intra-Banks Account to Account Transfer; inter-banks Account to Account Transfer; Download Account Transaction, etc… (Scroll down for the link to get the Complete Chapter One to Five Project Material)

Threats of Cyber-Crimes on the Nigerian Banking Premises

The Advances fee fraud or 419, which is one of the most popular of all internet frauds, Has its origin from Nigeria in the 1980s. Its development and spread follow the path of the developments in information technology at inception, postal letters were used as key media for committing 419 frauds.

Later in the early 1990s, it became integrated into telecommunication facilities such as the telephone and fax from the late 1990s following the introduction of computers and the internet, 419 crimes became prevalently perpetrated through the use of e-mail and other internet means  (Amedu,  2005).  The latest dimension taken by the perpetrators of this crime is the use of fake internet bank site, and using that to encourage victims to open accounts with them… (Scroll down for the link to get the Complete Chapter One to Five Project Material)

Operation of Financial Institution

Financial institutions provide service as intermediaries of the capital and debt markets. They are responsible for transferring funds from investors to companies in need of those funds. Financial institutions facilitate the flow of money through the economy… (Scroll down for the link to get the Complete Chapter One to Five Project Material)



This chapter describes the techniques and procedures used by the researcher in conducting the study and accumulating the data for the study. It comprises the description of the population of the study, sampling techniques, sample size, sources of data, method of data collection and method of data analysis, and testing hypothesis.

Population of Study

The population to be used in this study covers all the 40 credit officers of Diamond bank Plc.  The population selected was designed to obtain adequate and diverse views pertaining to the level and impact of electronic banking in Diamond bank.

Sampling Techniques

The technique is used to ensure that all the segment of the population is included in the sample. The sample is drawn from the credit officers of DIAMOND BANK Plc.

Sample Size

The sampling size to be used by the researcher in this study constitutes (40) diamond bank officers.

Sources of Date

The researcher uses both primary and secondary data in the study. The primary data are collected by the researcher through the use of questionnaire while the secondary data are data collected from CBN electronic banking guideline, annual report of Diamond bank Plc, and CBN annual report, etc… (Scroll down for the link to get the Complete Chapter One to Five Project Material)




A total of 40 questionnaires were distributed to the various credit officers of Diamond bank Plc on Kaduna State. After the questionnaires were filled by the respondents and collect back, they were screened and sorted out by the researcher. The detail of the returned questionnaires shows that out of 40 sent out, 35 only were completed and returned, while 3 were not returned and 2 were rejected because they were not properly completed. Hence

87.5% of the respondents returned their questionnaires.

Presentation and Analysis of Data

  • Qualification of Respondent

The researcher was able to meet with the respondent to know their level of qualification. The table below shows the different qualifications and their response.

Table 4.1: Qualification of Respondents

OND 5 14.3
HND 9 25.7
BSC 14 40
MSC/MBA 7 20
PhD 0 0
TOTAL 35 100

Source: Field Survey, 2015

Table 4.1 shows the number of respondents by qualifications. The data collected indicated that 14 or 40% of respondents are B.Sc Holders, 9 or 25.7% are HND holders, while 7 or 20% are masters holders and non among have Ph.D. Therefore, it could be inferred that the majority of the credit officers are Holders.

  • Working Experience

The research was able to meet with the different respondents to know their year’s experience with Diamond bank Plc.

Table 4.2: Years of Experience with Diamond bank Plc.

1-5 years 8 22.9
6-10 years 10 28.6
11-15 years 9 25.7
16-20 years 6 17.1
21 years and above 2 57
TOTAL 35 100

Source: Field Survey, 2015

Table 4.2 shows how long the respondents have been working with the bank. From the data collected, it could be seen that 12 or 40% of respondents have spent between 1-5 years working with the bank, while 16-20 years and 2 or 25.7% between 11-15 years, 6 or 17.1% between 16-20 years and 2 or 5.7% for more than 21 years. In view of this fact, it could be deduced from the analyzed data in table 2 that 77.1% of the respondent have spent an appreciable period of 5 years and above working in the bank… (Scroll down for the link to get the Complete Chapter One to Five Project Material)


From the above analysis,  it is seen that in hypothesis one,  you can see that respondents agreed that electronic banking does not have a prospect in Diamond bank. In the hypothesis, we can also see that respondents agreed that electronic banking does not that respondents strongly agree that the adoption of electronic banking does not enhance the fortune of Diamond bank… (Scroll down for the link to get the Complete Chapter One to Five Project Material)



The study was carried out in order to assess the impact of the electronic banking system in the diamond bank. The general introductory aspect shade more light on the essence of electronic banking. Many kinds of literature and academic publication from different authors in electronic banking, product emerging issues in electronic… (Scroll down for the link to get the Complete Chapter One to Five Project Material)


Based in the summary of the major findings the following conclusions are drawn:

  1. The adoption of electronic banking has enhanced  First  Bank efficiency by making it more productive and effective.
  2. Electronic Banking also has a strong impact on the overall banking performance by making workers’ performance more effective and efficient… (Scroll down for the link to get the Complete Chapter One to Five Project Material)


In order to give the growing trends of Information and Communication Technology (ICT) which involves net banking and e-commerce in banks a vision in the right directions, the following strategies are recommended for further follow up:

  1. The banks must be focused in terms of their needs and using the right technology to achieve goals, rather, than acquiring the technology of internet banking because other banks have it.
  2. Government participation in ensuring focused telecommunication industry must be visible to reduce or remove avoidable costs of implementing e-commerce and internet banking… (Scroll down for the link to get the Complete Chapter One to Five Project Material)



Amedu, U. M. (2005). Domestic electronic payment in Nigeria: The Challenges. Central Bank of Nigeria Bullion, vol. 29, No. 1, January/March.

Bank for International Settlements (2001).  Committee on  Payment and  Settlement System Survey of electronic money developments prepared by the  Committee on Payment and Settlement Systems of the Central Banks of the Group of Ten countries, November.

Berentsen, A. (1998), Monetary Policy Implications of Digital Money, Kyklos, Vol. 51, pp. 89 117.

Berry, M.J.A.; Linoff, G.S. (1999), Mastering Data Mining: The Art and Science of Customer Relationship Management. New York: John Wiley & Sons. pp.57-61

Central Bank of Nigeria (2003), Guidelines on Electronic Banking in Nigeria. August. Central  Bank of  Nigeria  (2003),  Report of the  Technical Committee on  Electronic Banking, February.

Cohen, Benjamin J., (2001), Electronic Money: New Day or False Dawn? Review of International Political Economy, Vol. 8, pp. l97—225.

Connel F. and Saleh M. N. (2004), Six Puzzles in Electronic Money and Banking IMF Working Paper, IMF Institute. Vol. 19. February.

Davenport, T. H. (1993), Process Innovation: Reengineering Work through Information Technology. Boston: Harvard Business School Press. pp. 30 — 35

(Scroll down for the link to get the Complete Chapter One to Five Project Material)


(Get the Complete Chapter One To Five Project Material)

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