EFFECTS OF BANK’S ELECTRONIC INNOVATIONS ON THE FINANCIAL PERFORMANCE OF DEPOSIT MONEY BANKS IN NIGERIA

The study became necessary as a result of increased penetration of banking innovation, which redefined the banking operations in Nigeria. This study investigated the effect of innovation on the performance ofdeposit money banks in Nigeria from 2008 to 2017. Three hypotheses were formulated to test the relationship between the independent variables and dependent variable.. The population of the study is all the Deposit Money Banks (DMBs) in Nigeria. Data were collected from secondary source through Central Bank of Nigeria Bulletin (CBN) and Nigeria Deposit Insurance Corporation (NDIC).The financial performance was measured in terms ofr eturn on equity (ROE). The data were analysed with Ordinary Least Square (OLS) method ofr egression. Thefindings revealed that the adoption of financial innovation (ATM and MB) has strongly and significantly impacted on the performance ofN igerian banks. The results also established that POS have negative effect on the financial performance of DMBs. It is therefore recommended among others that point of sales transactions should be discouraged since criminals are fond of using it to perpetrate their evil act.