E-banking and the performance of financial institutions:

Abstract

The purpose of the study was to establish E-Banking and the performance of financial institutions; this was conducted at pride micro finance limited. This study was based on the objectives which included findings on how E-banking has affected the performance of the financial institution in pride micro finance limited, Katwe branch. To examine the effect of ATM on performance of pride micro finance, To examine the effect of mobile banking on performance of pride micro finance and To examine the effect of SMS banking on the performance of pride micro finance. The research design included both descriptive and analytical methods and data used included both primary and secondary, with primary data collected by use of self administered questionnaires. The study covered a sample of 44 respondents. purposive sampling was used; questionnaires and interviews were used as the instruments of data collection in the study. Data will be informed of tables in order to determine the validation of E-banking and the performance of financial institutions. It is also said that financial institutions in Uganda cannot ignore information systems since they play an important role in their operations because customers are conscious of technological advancements and demand higher quality services. The results showed that there is positive relationship between mobile banking and financial performance. The findings of the study revealed that the majority of the respondents used ATMs in their business operations since majority of the responses were positive in nature. The study also revealed that the majority of the respondents agreed that the bank had invested in ICT. Hence forth, the researcher recommended that ATMs should be put in different locations easily accessible by customers so that quick service and convenience is maintained. The study also recommended that the bank should subscribe to a reliable internet provider for effective and efficient service delivery. The bank should also employ skilled personnel with more experience on network management in order to ensure the reliability of net work and this will help in improving the financial performance of the institutions