Banks Increased e-Banking Earnings by 24.42% to N265bn in 9 Months
Deposit Money Banks (DMBs), otherwise known as commercial banks, operating in the country have increased their earnings from electronic transactions by 24.42 per cent to N265.269 billion in the first nine month of 2023.
Analysis of the figures showed that DMBs recorded a total sum of N213.204 billion during the same period in 2022.
Income from e-business is earned from electronic channels, card products, and related services which include mobile applications, USSD channels, automated teller machines (ATMs), agency banking, internet banking, and point of sales (POS) payments.
The latest figures have indicated steady growth in e-business income for Nigerian financial institutions as banks have progressed to tap the benefits that come with the use digital banking.
This comes amid the shift from traditional banking methods to the increasing popularity of mobile and online banking in Nigeria.
This has, in turn, led to a corresponding increase in banks’ revenue as more customers have turned to these channels to access financial services.
According to the report, Access Holdings Plc with earnings of N70.350 billion, and United Bank for Africa Plc (UBA) with an e-business income of N61.161 billion emerged the top two earners during the period in review.
Access Holdings’ income grew by 42.41 per cent from N49.399 billion generated in 2022 while UBA’s profit also witnessed a growth of 33.77 per cent compared to N45.720 billion recorded in the previous year.
Other banks that made profits in e-business revenue include Guaranty Trust Holding Company PLC (GTCO Holdings) with an e-business income of N30.906 billion.
This amount indicated an increase of 14.7 per cent, compared to N26.945 billion generated in 2022.
First Bank of Nigeria Limited reported an e-business income of N48.789 billion. The bank’s e-business income grew by 18 per cent from N39.977 billion recorded in 2022. Zenith Bank Plc’s income of N33.551 billion from e-business during the period indicated a decrease of 7.5 per cent when compared with the sum of N36.069 billion recorded in the previous year.
Five tier 1banks above recorded a combined sum of N244.757 billion and represents 92.26% of the total sum of N265.269 billion generated in the first nine months of 2023.
Other banks earnings are; Sterling Financial Holdings – N6.304 billion; Wema Bank – N5.207 billion; Stanbic IBTC- N3.242 billion; Fidelity Bank- N2.848 billion; Unity Bank-N2.215 billion and Jaiz Bank- N696 million
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