Assessing the Impact of Cybersecurity Threats on E-Banking Adoption in Nigeria: A Study of Consumer Behaviour and Perception

This study assesses the impact of cybersecurity threats on the adoption of e-banking services in Nigeria, focusing on consumer behavior and perception. With the rapid proliferation of digital banking solutions, understanding the factors influencing consumer trust and acceptance is paramount. This research employs a mixed-methods approach, utilizing quantitative data gathered through a structured questionnaire distributed to a sample of 400 respondents across various demographics. The questionnaire explored consumer awareness of cybersecurity threats, perceptions of personal data security, and the effectiveness of current banking security measures. Findings reveal a significant level of awareness among consumers regarding cybersecurity threats, with 50% acknowledging these risks. However, a considerable portion of respondents (62.5%) expressed concerns about the safety of their personal data when using e-banking services. This apprehension is compounded by the perception that existing security measures are insufficient, with 42.5% of participants disagreeing with the effectiveness of their banks' cybersecurity protocols. Despite these concerns, a notable majority (72.5%) recognize the convenience and efficiency that e-banking offers, indicating a potential willingness to embrace digital banking if security issues are adequately addressed. The study further highlights the role of consumer education in enhancing the adoption of e-banking services. A significant 77.5% of respondents believe that increased awareness and education about cybersecurity could improve their willingness to engage with e-banking. This underscores the importance of targeted educational initiatives by financial institutions to empower consumers with knowledge about safe online banking practices. Additionally, the findings indicate that 42.5% of respondents still prefer traditional banking methods, suggesting that banks need to cater to both digital and traditional consumers. By adopting a hybrid approach that combines robust cybersecurity measures with personalized customer service, banks can enhance trust and foster greater adoption of e-banking services. In conclusion, the study reveals that addressing cybersecurity concerns through improved security measures, effective communication, and consumer education is essential for increasing e-banking adoption in Nigeria. As financial institutions strive to create a safer and more inviting e-banking environment, they will play a crucial role in shaping the future of digital banking in the country. This research contributes valuable insights into the interplay between cybersecurity and consumer behavior, offering practical recommendations for policymakers and banking institutions aiming to enhance digital financial services. Keywords: Cybersecurity, E-Banking, Consumer Behaviour, Technology