Department of Finance

This study examines the impact of digital payment technologies on financial inclusion in Nigeria, focusing on Automated Teller Machine (ATM) transactions, Point-of-Sale(POS) transactions, Web Pay transactions, and mobile payments. Despite significant advancements in digital payment infrastructure, approximately 40%of adult Nigerians remain financially excluded, revealing persistent challenges inachieving universal access to financial services. The research addresses this gap by empirically investigating how different digital payment channels contribute to broadening financial participation in the formal economy. The study adopts an Ex-Post-Factoresearch design, utilizing quarterly time series data spanning from2009Q1to2023Q4,yielding 60 observations. Secondary data were obtained from the Central Bank of Nigeria Statistical Bulletin and the Nigeria Inter-Bank Settlement System. Financial inclusion was operationalized as total savings as a ratio of GDP, while independent variables captured transaction volumes across the four digital payment channels. The analytical framework employed Augmented Dickey-Fuller unit root tests, Johansenco integration analysis, and the Autoregressive Distributed Lag (ARDL) bounds testing approach to examine both short-run dynamics and long-run equilibrium relationships. Results indicate that only mobile payment transaction volume demonstrates a statistically significant positive effect on financial inclusioninNigeria.ATM, POS, and Web Pay transaction volumes show no significant impact, attributed to infrastructure constraints, urban concentration of services, digital literacy gaps, and limited accessibility in rural areas. The superior performance of mobile payments stems from widespread mobile phone penetration, USSD technology compatibility with basic phones, minimal entry barriers, and distributed agent networks reaching underserved populations. The study concludes that mobile payments represent the most effective digital channel for advancing financial inclusion inNigeria.Recommendations emphasize prioritizing mobile payment infrastructure development,addressing electricity and telecommunications constraints, enhancing financial and digital literacy programs, reforming regulatory frameworks, including tiered KYC requirements, expanding agent networks into rural areas, and leveraging mobile platforms for government-to-person payments. Policymakers should adopt comprehensive strategies integrating supportive ecosystems that enable access, build capability, and foster trust to maximize mobile payments' potential in achieving sustainable financial inclusion. Keywords: Digital Payment Technologies, Financial Inclusion, Mobile Payments

This study examined the effect of financial technology on the performance of deposit money banks in Nigeria. Quarterly time series data for the period 2009Q1–Q4 to 2023Q1–Q4 was generated from the Central Bank of Nigeria Statistical Bulletin and global financial index of the World Bank. The study used the ordinary least squares multivariate regression estimation method to analyze the data generated. The findings reveal that Internet banking, ATM usage, and POS terminal usage have significant impact on deposit money banks’ performance in Nigeria, while mobile banking has no significant effect on deposit money bank performance. According to the study's findings, financial technology (FINTECH) variables play a significant role in Nigeria's deposit money bank performance. Based on the findings, the study recommends that deposit money banks should improve their security on mobile transactions and also reduce the various charges associated with mobile transaction usage in Nigeria. It is also important to address Nigeria's poor internet access. In order to gain consumers' trust, network communication security should be strengthened. Concerns about security when using internet banking should be addressed by banks in order to reverse the negative impact on their performance. Furthermore, deposit money banks should upgrade ATM technology to include features such as cardless transactions, biometrics, and improved security measures to enhance user experience and attract more customers; with increased usage, this will improve bank performance. In addition, the adoption rate of point-of-sale (POS) terminals in Nigeria should continue to be improved so that it will contribute positively to deposit money bank performance. This can be achieved by reducing excessive transaction fees and improving the infrastructure required to operate POS systems, such as network access, which will further enhance the performance of banks in Nigeria.

This study examined the effect of financial technology on the performance of deposit money banks in Nigeria. Quarterly time series data for the period 2009Q1-Q4 to 2023Q1-Q4 was generated from the Central Bank of Nigeria Statistical Bulletin and global financial index of the World Bank. The study used the ordinary least squares multivariate regression estimation method to analyze the data generated. The findings reveal that that Internet banking, ATM usage and POS terminal usage have significant impact on deposit money banks performance in Nigeria while mobile banking has no significant effect on deposit money bank performance. According to the study's findings, financial technology (FINTECH) variables play a significant role in Nigeria's deposit money bank performance. Based on the findings, the study recommends that deposit money banks should improve their security on mobile transaction and also cut down the various charges associated with mobile transaction usage in Nigeria. Also, It's also important to solve Nigeria's poor Internet access. In order to gain consumers' trust, network communications security should also be strengthened. Concerns about security when using internet banking should be addressed by banks in order to reverse the negative impact on their performance. Furthermore, deposit money banks should upgrade ATM technology to include features like cardless transactions, biometrics, and improved security measures to enhance user experience and attract more customers and with more customers using this platform it will improve the performance of deposit money banks. In addition, the adoption rate of point-of-sale (POS) terminals in Nigeria should continue to be improved so that it will continue to contribute positively to deposit money bank performance. This can be done by lowering the excessive transaction fees and making improvements to the infrastructure needed to run POS, such as network access. This will further improve the performance of banks in Nigeria.

This study examined the effect of financial technology on the performance of deposit money banks in Nigeria. Quarterly time series data for the period 2009Q1-Q4 to 2023Q1-Q4 was generated from the Central Bank of Nigeria Statistical Bulletin and global financial index of the World Bank. The study used the ordinary least squares multivariate regression estimation method to analyze the data generated. The findings reveal that that Internet banking, ATM usage and POS terminal usage have significant impact on deposit money banks performance in Nigeria while mobile banking has no significant effect on deposit money bank performance. According to the study's findings, financial technology (FINTECH) variables play a significant role in Nigeria's deposit money bank performance. Based on the findings, the study recommends that deposit money banks should improve their security on mobile transaction and also cut down the various charges associated with mobile transaction usage in Nigeria. Also, It's also important to solve Nigeria's poor Internet access. In order to gain consumers' trust, network communications security should also be strengthened. Concerns about security when using internet banking should be addressed by banks in order to reverse the negative impact on their performance. Furthermore, deposit money banks should upgrade ATM technology to include features like cardless transactions, biometrics, and improved security measures to enhance user experience and attract more customers and with more customers using this platform it will improve the performance of deposit money banks. In addition, the adoption rate of point-of-sale (POS) terminals in Nigeria should continue to be improved so that it will continue to contribute positively to deposit money bank performance. This can be done by lowering the excessive transaction fees and making improvements to the infrastructure needed to run POS, such as network access. This will further improve the performance of banks in Nigeria.

This study investigated the effect of digital payment systems on the profitability of deposit money banks in Nigeria using quarterly time-series data from 2012Q1 to 2022Q4. Five electronic payment channels such as Automated Teller Machines (ATM), Point of Sale (POS), Web payment platforms, Mobile payment systems, and NIBSS Electronic Fund Transfer (NEFT) were examined. The Fully Modified Ordinary Least Squares (FMOLS) technique was employed to estimate the long-run relationship between digital payment adoption and bank profitability. The empirical findings revealed that ATM and Web payment transaction values exerted a statistically significant and positive influence on bank profitability. In contrast, POS, Mobile payment, and NEFT transaction values showed no significant long-run effect on profitability during the study period. These results suggest that while some digital channels have matured into profit generating platforms, others remain operationally essential but financially under-optimized. Based on the findings, the study recommends that banks strengthen and expand ATM and Internet banking infrastructure to sustain profitable digital operations. In addition, banks should re-evaluate fee structures, improve service reliability, and increase merchant and customer adoption of POS and mobile payment platforms to unlock profitability potential. Collaboration with regulators and payment stakeholders is also essential to enhance NEFT efficiency, reduce operational costs, and support wider digital financial ecosystem stability. Overall, a balanced multi-channel digital strategy is crucial for long-term profitability and competitive resilience in Nigeria’s evolving financial technology landscape

This study examines the effect of exchange rate volatility and macroeconomic variable instability on foreign portfolio investment in Nigeria. The data for this study was collected from World Bank Economic Indicator database and the Nigerian Security and Exchange commission Statistical Bulletin covering 1981 to 2024. The longitudinal research design was adopted by this study. The dynamic least sqaures regression technique was utiized and the E-view 9.0 econometric software was used for the
analysis. This study found that exchange rate volatility, growth in gross domestic product negatively and signficantly affect forign portfolio investement, while inflation rate and interest rate positively and significantly infleunce forign portfolio investement. The study recommend among others that the Nigerian government, particularly the Central Bank of Nigeria should intensify effort gear towards stabilizing exchange rate; and that government should deepen current reforms directed at reducing general price level (inflation), as doing so will stimulate foreign portfolio investment inflows into the country

This study investigates the Financial regulations in reducing systemic risk amongst
deposit money banks in Nigeria, spanning 10 years from 2015 to 2024. The ex-post facto research design was adopted for this study. The population of this study consists of the 24 listed Deposit Money Banks licensed to operate in Nigeria. A simple random sampling technique was adopted to select 5 banks categorized as domestic systemically important banks (D-SIBs) from the 24 licensed banks, enhancing the generalizability of the findings. Using the panel regression model analysis, the findings reveal that financial regulations such as capital adequacy ratio, reserve requirement, liquidity regulations, and asset quality have a systemically significant impact in reducing systemic risk amongst deposit money banks in Nigeria. Additionally, these regulations help prevent excessive risktaking, reduce the likelihood of bank failures, and promote public confidence in the financial system. The study recommends that regulators should continue to align with global standards like Basel III by enforcing stricter capital adequacy and liquidity requirements, and banks should adopt robust internal risk management frameworks. The research contributes to the critical understanding and evidence on which regulations are most effective in curbing systemic risk in Nigeria, providing insights for policymakers and banking industry stakeholders.

This study investigates the impact of foreign capital inflows on private sector development in Nigeria over the period 1990 to 2023. The analysis disaggregates foreign capital into four distinct components such as Foreign Portfolio Investment (FPI), Foreign Direct Investment (FDI), Foreign Aid (AID), and Remittances (REM), to examine their individual effects on domestic private sector credit as a proxy for private sector development. Utilizing the Robust Least Squares (RLS) estimation technique to address issues of model misspecification and data irregularities, the study finds that remittances exert a strong and statistically significant positive effect on private sector development, while FPI has a significant negative effect. In contrast, both FDI and foreign aid were found to have statistically insignificant impacts. The findings underscore the importance of capital quality and the domestic absorptive environment in determining the developmental impact of foreign inflows. The study concludes that while foreign capital remains essential for economic development, its effectiveness in enhancing the private sector depends critically on regulatory oversight, financial infrastructure, and macroeconomic stability. Policy recommendations include strengthening remittance channels, regulating speculative capital, and improving the investment climate for more productive FDI utilization.

The study examined the role of financial openness and foreign remittances inflows in capital market development in Sub-Saharan Africa over the period 1990 to 2023. The specific objectives of the study were to find out whether financial openness (FOPN), foreign remittances inflows, interest rate, exchange rate and inflation rate significantly affect capital market development in the Sub-Saharan Africa countries. Nigeria, Kenya and South Africa were used as sample++ size for the Sub-Saharan Africa capital markets. Using the panel fully modified least squares econometric technique, it was found that financial openness has a strong positive relationship
with capital market development in Sub Sahara Africa; foreign remittances inflows has a weak inverse relationship with capital market development, exchange rate has a weak positive effect on capital market development; and while interest rate and inflation rate has a strong negative relationship with capital market development in Sub-Sahara Africa countries. The study recommend among others that, governments and regulators should review current policy on foreign remittances with a view to repositioning it so that it will be able to attract more inflow of remittances and thereby impacting positively on the overall development Sub Sahara Africa capital markets. For instance, they should deliberately reduce the current high cost often associated with remittances inflow to the countries, and by so doing large portion of remittances
received into these countries can then be utilized for innovative financial products to constantly deepen and broaden the Sub Sahara Africa capital markets

This study investigates the impact of financial market frictions on stock market performance in South Africa over the period 1990 to 2024. Using annual time series data sourced from the South African Reserve Bank, Statistics South Africa, the Johannesburg Stock Exchange, and the World Bank, the study employs the Autoregressive Distributed Lag (ARDL) model to examine both short-run and long-run relationships between market capitalisation and key financial frictions: transaction costs, liquidity constraints, information asymmetry, and regulatory quality. The findings reveal that transaction costs have a statistically significant and positive effect on stock market performance in the short run, suggesting investor adjustment mechanisms, but no significant long-term effect. Li7quidity constraints negatively affect market performance in the short term but become insignificant over time, indicating temporary disruptions. Information asymmetry is found to significantly reduce market capitalisation in both timeframes, highlighting the importance of transparency and disclosure. Regulatory quality, however, shows no statistically significant impact, pointing to potential inefficiencies or limitations in the existing regulatory framework. The study concludes that financial frictions, particularly information asymmetry and liquidity constraints, remain critical barriers to optimal stock market performance in South Africa. It is recommended that policymakers streamline transaction cost structures, enhance market liquidity, strengthen disclosure and governance frameworks, and improve regulatory coherence to foster a more efficient and resilient capital market.