Information Technology

The Impact of Information Communication Technology (ICT) in Public Sectors Like Banks


The main purpose of this research is to determine the impact of information and communications technology (ICT) in banking industries. To achieve this purpose or objective very successfully, the research has taken into consideration the meaning or concept of information communication technology (ICT), the negative and positive effects of information communication technology (ICT), the characteristics or attitudes of information communication technology (ICT), the personnel/staff, etc. Having observed the above, the research delved into the problems associated with information communication technology (ICT). Consequently, the conclusions reached were maintenance or repair costs are some of the problems associated with information communication technology (ICT) in banking industries. The researcher made some useful recommendations that would aid the effective management and applied information communication technology (ICT).




Information is not only the basis of human existence. It is also the life wire for running any organization. This is consequently upon the fact that decision–making and effective execution of that decision, there must be constant information flow. Data gathered must be transmitted to the end – users after it had been processed. Information receipt, processing, storage, dissemination, etc., may be instant; otherwise, valuable business opportunities might be lost. That is what information communication technology (ICT) seeks to do in public administration and management.

The development of information communication technology (ICT) has come a long way. The first writing in the world was invented by Egyptian priests around four thousand B.C. at first, writing was a series of the whole picture, which ware drawn to tell a story. This took a long time to represent the whole. Much later on still, the picture was drawn not to represent objects. But to represent sounds, thus the picture of a house was drawn not to represent the actual building but the sound “haus” Gradually, the writing method was improved until one letter was used to represent one sound. This is how the first alphabet was made. The priests wrote with a reed pen and made ink by mixing soot and gum with water.

But the scope of the writing of the HIEROGLYPHICS was restricted to priests; hence it was called SACRED writing. The writing was used to record important religious ceremonies, medical facts and records of kings and nobles. The most important writings were recorded or carved on stones, while the less important records were kept on thin stripes from a reed known as PAPYRUS, a plant that grew on the banks of the River Nile. The modern word “paper” came from papyrus. Other ancient ways of writing include the SUMMERIAN CUNEFORM, ANTHENIAN OSTRAKON, and JEWISH SCROL or parchment, which was written on an animal skin.

For their information dissemination, the ancient world employed a number of ways. The Greeks used runners. The marathon race today is in honor of an Athenian runner who not only ran all the way from Athens to Sparta to call the Spartans to the battlefield but also, after the Persians had been defeated at a place called a marathon, ran a further 35 kilometres to Athens to report the victory, after which he fell down dead after announcing the victory. The old-talking drums, gongs, etc. were also used to send information. In emergency situations, a section of the forest could be set on fire to warn people of impending or sudden enemy attacks. All those various means of receiving, storing and sending information in ancient times have been replaced by the vast array of machines in the modern world. This is what is called information communication technology (ICT), which refers to a host of equipment and materials, essentially computer-based, used in the modern world for information receipt, processing, storage and dissemination.

The invention of printing machine was by a German called john Guttenberg: the calculating machine was invented by Charles Babbage in 1855: The typewriter was invented in 1967 by the Sholes brothers of America: the invention of the telephone was in 1876 by Scot Alexandra Graham bell; the invention of radio in 1895 by Marches Mancini; the television in 1922 by johnlogis bard; the turnaround brought about with the invention of the photographing machine in 1826 by joseph Niece, a French and so on have marked a turning point in information communication technology (ICT). From the earliest to modern times, precisely the twenty-first century, information communication technology (ICT) has spanned three distinct stages. These are:-

1. Primary stage – use of human labour

2. Secondary stage – use of electrical machines

3. Tertiary stage – use of electronic machines.

The modern age is aptly called the age of machines or the machine age. This is true in light of the numberless communication gadgets and information equipment that have flooded the market. But the computer is the greatest of this revolution, which has revolutionized the modern business world.

The primary stage was the period during which labour was used enormously in information receipt, storage and dissemination. At that time, electricity was not popular as it came into human existence in 1831 by Michael faraday. The manual typewriter came under this stage.

The secondary stage was the period during which electricity became the source of power for some machines. The electric typewriters came under this stage as well as many other electrically powered machines. The last stage is the tertiary stage, which is the present age of electronics, and is the power source of communication equipment.

1.2 Statement Of The Problems

Information communication technology (ICT) has given birth to many complex machines, some of which are beyond the operational scope of an average businessman. According to Hirsch, the machine age brought about the development of methods. Business executives, administrators, managers and staff need to go beyond their natural endowment to be able to understand the operations and procedures of these machines and also be able to operate these machines themselves. This makes training a sine-qua-non, but only very few businesses and individuals can afford the high training cost required to operate those machines. This cost becomes an impossibility when it involves an overseas training course.

Moreover, the costs of acquiring the machines are very exorbitant. The exchange rate of the naira is too down to earth when compared with other major currencies of the world, like the American dollar, British pound, Japanese yen, etc.

Deeds thousand naira, which is out of the financial capability of some business organizations, how much more the computer, photocopiers, fax machines, etc., whose costs run into nearly hundreds of thousands of Naira to purchase. The high cost of machines is almost defeating the goal of information communication technology (ICT).

Another problem associated with information communication technology (ICT) is servicing and maintenance of the machines. All these machines are manufactured in highly technologically advanced countries such as Germany, France, America, Japan, Britain, etc. when imported into Nigeria and other third-world countries; the user nations lack the expertise and technical know-how to maintain and service the machines. This is because the qualified service personnel required to service machines are not brought along with the machines. The implications are that half-baked technicians are forced to service the machines. Rather than putting the equipment back into use, they spoil it.

The results in scrapping many of the machines when these machines break down, the businesses can no longer use them, and the operations of that business are greatly impaired.

Finally, the information communication technology (ICT) world is an ever-changing sea. The rate at which the manufacturers and producers turn out these machines overwhelms stakeholders in the business world. It is very difficult to keep pace with the influx of these communication gadgets. As new discoveries are made, new machines are manufactured with their attendant different operational procedures. This keeps stakeholders on their toes as they are unsure about what is to replace the present machines.

1.3 Purpose Of Study

The main purpose of this study is to find out the impact of information communication technology (ICT) in banking industries using Eco bank as a case study.

In addition, this study will also try to:-

1. Establish the true meaning of business in the modern world;

2. To find out the personal characteristics or the essential qualities appropriate for information communication technology (ICT) personnel;

3. To find out the personal characteristics or the essential qualities appropriate for information communication technology (ICT) personnel:

4. Determine the different environments under which businesses are operated in the modern world of information communication technology (ICT)

5. To find out the various information communication technology (ICT) machines used in banking industries.

6. To identify some of the correction symbols used in information communication technology (ICT)

7. To make recommendations on ways and means of making information communication technology (ICT) more efficient and effective.

1.4 Scope of the Study

This study is limited to the effects made by information communication technology (ICT) in banking industries. This covers both the positive and negative impacts of information communication technology (ICT).

1.4 Research Questions

• Has information communication technology (ICT) made any impact on BANKS in Nigeria?

• What do banks in Nigeria use the various information communication technology (ICT) equipment?

• In what way has information communication technology (ICT) negatively affect banks in Nigeria?

• What are the personal characteristics and attributes of BANKS staff in the age of information communication technology (ICT)?

• What are the correct symbols, reference materials and standard abbreviations used by BANKS staff in information communication technology (ICT)?

1.5 Research Hypothesis

There have been claims by virtually all banks for acquiring state-of-the-art communication equipment and satellite technology to support their operations; with so doing, they hope to render customized services and improve their efficiencies. Sequel to the above, this study wants to test that:

Hypothesis 1

H0: ICT applications and investments do not contribute significantly to the profitability of Nigerian Banks.

Hypothesis 2

H0: Information and Communication Technology related problems do not have a significant relationship with the performance of Nigerian Banks.

1.6 Significance Of The Study

It is hoped that through this study, the stakeholders in the information industry would be enlightened in terms of knowledge, qualification, experience and performance appraisal.

Moreover, it will highlight the need for higher institutions of learning and other agencies engaged in training computer or information services to combine theory with practice. This can only be made possible if those schools as agencies procure the machines themselves. The larger society will benefit from this study by educating them on the many sides of information communication technology (ICT) and its effectiveness in public administration and management in the modern business world.

In addition, this study will be of significance to the government with respect to policies on the importation of information equipment. The high costs of these machines are consequent upon the high tariff imposed on the machines. If the import tax is relaxed or lowered, the cost of the machines becomes less and, therefore, affordable. Finally, this study no doubt will contribute to learning and then add to the frontiers of knowledge.

1.7 Definition Of Terms

Owing to the multiplicity of meanings of words in certain cases, the research needed to give certain words used in this study their contextual meanings.

• Information communication technology (ICT) refers to a host of machines used in today’s business world for information receipt, processing, storage and dissemination, etc.

• Data: this is unprocessed information. It is information that is in its raw or unorganized state.

• Information. This is the result of processed data. It is a combination of data plus processing; it is data in its organized and processed state that can be used in business decisions.

• File: this is a group of related data or information

• Hardware: this includes the physical components of information handling.

• Software: programs for the computer

• Processing: a series of events, actions or operations that transfers the original material, that is, data, into a finished product called information.


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