Current Status of E-Banking Practices in Bangladesh

Abstract

The main objective of present study is to find out the practice and impact of e-banking in Bangladesh. The investigation was concentrated in various divisions, districts, towns and rural areas in Bangladesh. The sample consisted of 120 bankers and bank customers, were selected purposively from various territory. Data was collected using questionnaire administrated by the researcher. Data were processed through micro computer using Statistical Package for Social Science (SPSS). For analyzing data suitable statistical tools such as chi-squire test and Pearson product correlation were used. From the analysis of data the following major findings were obtained:

i. almost all Bangladeshi banks offer e-banking services. State owned commercial banks are in backward position.

ii. Quality of e-banking services in Bangladesh is not good.

iii. E-banking practice in Bangladesh is not highly secured.

iv. Many users have no personal computer and internet connection. They use outside computer for e-banking functions.

v. Bangladeshi users have lack of awareness about e-banking and its security.

vi. Power crisis is a barrier for e-banking promotion in Bangladesh.

vii. Bangladesh does not have sufficient infrastructure which is essential for e-banking.

viii. Internet connection in Bangladesh is not sufficient speedy.

ix. E-banking required minimum man power than traditional banking.

x. E-banking reduces carrying cash. Cards are used for shopping.

Keywords: Bank, ATM, Debit/Credit Card, Internet

JEL Classification: E42, G21