Digital Financial Innovation on Economic Growth in Nigeria
Abstract
The study empirically examined the effect of digital financial innovation on the financial performance of banks in Nigeria. The specific objectives were to: examine the effect of digital transaction intensity on return on assets (ROA), ascertain the effect of product innovation on ROA, and determine the effect of mobile money on ROA. Data were sourced from the Central Bank’s Statistical Bulletin, bank annual reports, and other relevant sources. A multiple regression analysis was employed in the study. Based on the analysis of the results, digital transactions, product innovation, and mobile money had a positive and significant effect on the financial performance (ROA) of deposit money banks in Nigeria. The study recommended that banks should increase digital transaction intensity and strengthen their cybersecurity framework.