Electronic Commerce : A New Commercial Revolution

1012 WordsMay 21, 20175 Pages
CHAPTER 1 1.1 BACKGROUND OF STUDY Electronic commerce is now taking us the following level of a new commercial revolution by offering an inexpensive and direct way to exchange data and to offer or purchase items and services. Electronic-commerce in Nigeria is at the beginning stage. However, one aspect of Electronic-commerce that has demonstrated to be fruitful in Nigeria is electronic banking (E-banking). The term "electronic banking" or "e-banking" covers both computer and telephone banking. Electronic banking technologies greatly expanded in recent years. E- Banking service is based on the use of new technologies to provide various banking services directly to customers around the clock. Banks offer a wide range of these services…show more content…
Such products and services can include deposit-taking, lending, account management, the provision of financial advice, electronic bill payment, and the provision of other electronic payment products and services such as electronic money. In the past few years, Nigerian banks and generally the financial services industry embraced electronic banking, which has been made possible by the advancements in information technology (IT). According to Sanusi (2002), the introduction of e-payment products in Nigeria commenced in 1996 when the CBN granted All States Trust Bank approval to introduce a closed system electronic purse called ESCA. This was followed in February 1997, with the introduction of a similar product called “Pay card”, by Diamond Bank. Many banks therefore launched their websites between 1998 and 2000 with a view to starting Internet banking. The CBN has additionally granted approval to a number of banks to introduce international money transfer products, telephone banking and online banking through the internet, though on a limited scale (Abdulhakeem, 2002). The number of internet users on Nigeria’s telecoms networks over the past three years has increased rapidly from 65.6million as at 2013 which had a 38% penetration of the population to 75.7million as at 2014 which had a 42.7% penetration of the population to 97.21million which has a 51.98% penetration of the total population according to the Nigerian
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