Assessment of Challenges and Opportunities Of E-banking In Commercial Bank of Ethiopia Bole District; Addis Ababa Ethiopia

Abstract

This study assesses the challenges and opportunities of E-banking services in the commercial bank of Ethiopia. Sample size of the study consists of 171 respondents and data was gathered from 13 branches of Commercial Bank of Ethiopia. A simple random sampling method was employed to draw the sample from the population. A Quantitative research approach was employed to answer the research questions that emerged through the review of existing literature and the experiences of the researcher in respect to the E-banking service in Ethiopia. The study statistically analyzed data obtained from the survey questionnaire. The result of the study indicated that, the major challenges commercial banks of Ethiopia high cost of implementation of the E-banking system, lack of customer awareness, lack of sufficient government support, legal and regulatory differences and lack of trust. The study identified operational and services benefits from using of E-banking services such as increased productivity, generate foreign currency, increased reliability and improve customer service, increase accessibility of the bank services, The study also indicated existing opportunities for E- banking service such as Legal frame works that enforce banking industries to expand technological innovation, Commitment of the government to strengthen the banking industry, the existence of high demand, and Improvement in the banking habit of the society. The study recommended banks to facilitate proper and continuous training for their employees, increasing security for E-banking products, create deep awareness about E-banking service to the community while the government should support banking sector by facilitating sufficient ICT infrastructure development and issue clear and workable legal frameworks to ease the implementation and growth of E-banking service in commercial bank of Ethiopia selected branches