Abstract:
This study aims to examine determinants of customer adoption of E-banking in Ethiopia. The
study were conducted based on the data gathered from the customers of commercial bank of
Ethiopia jimma district by classifying them in to three stratums based on their educational and
income level. A mixed research approach were used to answer the research questions that
emerge through the review of existing literature and the experiences of the researcher in respect
to the electronic banking system in Ethiopia. The study analyzes data obtained from the survey
questionnaire using the statistical package for social science (SPSS). The result of the study
indicated that, from the tested five variables computer experience, income level and educational
level have a positive significant influence on the adoption of electronic banking while fear of
security have a negative significance influence and the rest variable age doesn't have a
significance influence on the adoption of electronic banking. The study suggests a series of
measures, which can take by the banking industry to address the findings observed in the study.
These measures include the banks must make their electronic banking as simple and easy to use
as possible. They must work on minimizing the security issues related to the adoption of the
system by developing different mechanisms and working with its customers to enhance the
sustainability and improvement in adoption of the system. The banks must plan how to give
information related to the system to its customers to improve the adoption of the system in a
successful manner.
