ABSTRACT

This study empirically investigates the relationship financial technology (fintech) and deposit mobilization of deposit money banks in Nigeria over the period 2013-2020, using data for the five big banks, Access bank Plc, First Bank Nig. Ltd., United Bank for Africa (UBA) Plc, Guarantee Trust Bank (GTB) Plc and Zenith bank Plc. Three major fintech variables (number of ATMs, total number of mobile money operators and internet banking services the bank), as well as two exogenous control variables, which are bank size and real gross domestic product (RGDP) were used as the explanatory variables. The panel least squares technique was specifically employed to examine the nexus between these components of financial technologies revolution and deposit mobilization in deposit money banks, after the preliminary descriptive statistics. The empirical results revealed that fintech (i.e. number of ATMs and internet banking services) are positively and significantly related to deposit mobilization of deposit money banks in Nigeria. Total number of mobile money operators is positively related with deposit mobilization of deposit money banks, but the effect not statistically significant. Further evidence showed positive and significant impact of bank size and real GDP on deposit mobilization of deposit money banks.

Against the backdrop of the foregoing findings, better and improved technological and innovative financial services are imperative to enhance deposit mobilization of deposit money banks in Nigeria.