Chapter One — 1.1 Background to the Study

Over the past decade, the relationship between electronic banking (e-banking) and bank liquidity position has become a subject of considerable debate among scholars and industry practitioners alike, particularly within the context of Plateau State where operating conditions differ markedly from more developed markets.

Within the context of Plateau State, this relationship carries particular significance. Organizations in this setting operate under a distinct combination of economic, regulatory, and market conditions that may amplify or dampen the effect of electronic banking (e-banking) on bank liquidity position, making a context-specific inquiry both timely and necessary.

1.2 Statement of the Problem

Despite a growing body of literature on electronic banking (e-banking), there remains limited consensus on the precise nature of its relationship with bank liquidity position, particularly within Plateau State. Many organizations continue to make decisions about electronic banking (e-banking) without a clear, evidence-based understanding of how those decisions ultimately affect bank liquidity position. This gap between practice and empirical understanding is the central problem this study seeks to address.

1.3 Objectives of the Study

1. To examine the effect of Electronic Banking (E-Banking) on bank liquidity position in Plateau State.
2. To assess the extent to which electronic banking (e-banking) influences bank liquidity position within the study area.
3. To identify the challenges associated with electronic banking (e-banking) in relation to bank liquidity position.
4. To recommend strategies for optimizing electronic banking (e-banking) in order to improve bank liquidity position.

1.4 Research Questions

1. What is the effect of electronic banking (e-banking) on bank liquidity position in Plateau State?
2. To what extent does electronic banking (e-banking) influence bank liquidity position within the study area?
3. What challenges are associated with electronic banking (e-banking) in relation to bank liquidity position?
4. What strategies can be adopted to optimize electronic banking (e-banking) in order to improve bank liquidity position?

1.5 Significance of the Study

Beyond its academic contribution to the field of finance / banking, this study has practical value for management teams within Plateau State seeking to understand how electronic banking (e-banking) translates into measurable outcomes around bank liquidity position. It is equally useful to students and future researchers looking for a localized empirical reference on this relationship.

1.6 Scope of the Study

In terms of scope, this study confines itself to Plateau State, focusing specifically on how electronic banking (e-banking) relates to bank liquidity position within that setting. Findings are interpreted within these boundaries rather than as universal claims applicable to every organization or market.