Effects of technology based innovation on listed commercial banks financial performance in Ethiopia: The case of Electronic Banking Services

Abstract

This study empirically examines the effect of electronic banking services on the financial performance of listed commercial banks in Ethiopia. The study employed quantitative research approach using strongly balanced panel data on nine listed commercial banks covering 2011-2019. Target population of the study were all listed commercial banks in Ethiopia and all the available data were obtained from national bank of Ethiopia and from their audited annual reports. The fixed effect model regression results revealed that automated teller machine and mobile banking services have positive and statistically significant effects on the financial performance of commercial banks. However, the regression result suggests that, POS machine banking services have negative and statistically significant effect.