Digitalized Banking in a Globalized World A Review of Nigeria’s Digital Banking Transformation

Abstract

In recent years, the Nigerian banking industry has witnessed a profound revolution, driven by digital transformation. Digitalization of the Nigerian banks has brought about new ideas with regard to development and improvement in various areas. This has continued to grow and supplant the conventional banking services to the customers through innovative technologies to meet the developing complex necessities and challenges of globalization. This paper therefore is undertaken to review the transformative journey of the Nigerian banking sector to digitalization, focusing essentially on critical discourse relating to digital banking channels, the associated benefits, challenges and other relevant issues. The paper adopts the exploratory research method, whereby recent scholarly articles, analytical studies and other relevant documented materials on the internet, are reviewed. The paper reveals that ultimately, the digitalization of the Nigerian banking industry has significant implications for its overall dynamics, with its associated benefits and challenges. The paper concludes that digitalization has made banking transactions easier and faster, though not without challenges, key among which include the issue of cybersecurity threat. The paper among other things, recommends that banks should continuously prioritize the adoption of effective and robust cybersecurity measures, leveraging adequate investment both in cybersecurity devices and human resource development programmes for employees, in order to strengthen customers’ data privacy and safeguard customers’ financial transactions.