FACTORS AFFECTING THE ADOPTION OF E- BANKING SERVICES IN COMMERCIAL BANK OF ETHIOPIA

Abstract

The reason for conducting this survey was to find out the factors influencing the adoption of electronic banking among Ethiopian commercial bank customers. Data were collected through questionnaires distributed to a target group of 400 customers of selected branches, with a response rate of 95.4%. A quantitative research approach was used to answer the research questions. The collected data were analyzed using SPSS version 26 for descriptive and inferential analysis. The relationship and influence of factors were analyzed using Pearson correlation and multiple regression analysis. The research results showed that the explanatory variables e-banking service awareness, e-banking device disruption, trust and demographic factors were identified as significant influences on e-banking adoption. Approaches to enrich ebanking services are also suggested, including creating more user-friendly websites, reducing users' risk concerns, and the role of government in improving ICT infrastructure. Finally, in order to achieve a sustainable adaptation of e-banking services by financial institutions that best meet customer needs, more research work is suggested to further analyze the participation of ebanking services in larger economic transactions. The findings suggest that enhancing usersfriendly interfaces, addressing security concerns, and improving ICT infrastructure could boost e-banking adoption. The thesis concludes with recommendations for further research to support sustainable e-banking services tailored to customer needs.