DIGITAL INCLUSION AND BANK PERFORMANCE: EVIDENCE FROM NORTHERN NIGERIA
North Central Nigeria lags behind other regions in digital financial inclusion despite the national push towards a cashless economy. This study investigates the relationship between digital inclusion undertaken by deposit money banks (DMBs) and their performance in this region. The study adopted the cross-sectional research design. Primary data were collected from the respondents via the administration of a structured questionnaire. The population for this study was one thousand, four hundred and ninety seven (1497) staff consisting of junior and senior staff of six (6) deposit money banks in North Central Nigeria. Partial least square – structural equation modelling (PLS-SEM) 3.2.9 was used to test the research hypotheses at a 5% level of significance. The study reveals that digital financial inclusion via mobile phone banking and digital wallets adoption positively correlated with the performance of the deposit money banks. Among others, the study recommended that deposit money banks in the North Central region should invest in developing user-friendly and secure mobile banking apps that offer a variety of functionalities and features. Also, regulatory agencies such as the Central Bank of Nigeria should develop a clear and supportive regulatory framework for electronic money banking that fosters innovation while ensuring consumer protection and financial stability.
Digital Financial Inclusion, Mobile Phone Banking, Digital Wallets Adoption, Financial Stability, Operational Efficiency, Deposit Money Banks, North Central Nigeria.