i FINANCIAL TECHNOLOGY AND DEPOSIT MONEY BANK PERFORMANCE IN NIGERIA

Financial technology (FinTech) has revolutionized banking operations globally, reshaping the efficiency and performance of deposit money banks (DMBs) in Nigeria. This study examines the impact of financial technology on the performance of Nigerian deposit money banks, focusing on key financial indicators such as profitability, operational efficiency, customer outreach, and risk management. The research explores various FinTech innovations, including mobile banking, internet banking, automated teller machines (ATMs), blockchain technology, and artificial intelligence-driven banking solutions. The study adopts a quantitative research approach, utilizing secondary data from the financial statements of selected banks, Central Bank of Nigeria (CBN) reports, and relevant financial databases. Econometric models are employed to analyse the relationship between FinTech adoption and bank performance metrics such as return on assets (ROA), return on equity (ROE), and non-performing loan ratios (NPLs). Findings reveal that financial technology has significantly enhanced banking efficiency, reduced operational costs, and expanded financial inclusion in Nigeria. However, challenges such as cybersecurity threats, regulatory bottlenecks, and initial high implementation costs have constrained the full potential of FinTech in the sector. The study highlights the need for robust regulatory frameworks, increased robust regulatory frameworks, increased investment in cybersecurity measures, and continuous innovation to sustain the positive impact of financial technology on the banking industry. The study concludes that financial technology is a key driver of bank performance and long-term sustainability. It recommends that deposit money banks leverage advanced digital solutions, collaborate with FinTech start-ups, and strengthen risk management strategies to enhance financial performance and competitiveness in Nigeria’s dynamic banking landscape.