Exploring Key Determinants of Financial Technology Adoption Under the National Bank of Ethiopia
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Date
2025-06-23
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Publisher
AAU
Abstract
This research employs a quantitative methodological approach to examine the key factors
influencing the adoption of NBE-endorsed financial technology (FT) in Ethiopia. The study
targets 107 officials working at the Addis Ababa branch of the National Bank of Ethiopia (NBE),
utilizing structured questionnaires to gather primary data. The collected data were analyzed
using statistical tools such as descriptive statistics, correlation analysis, and multiple regression
analysis, all conducted with SPSS version 26. The findings reveal that several factors—namely
ease of use, infrastructure quality, security measures, and user trust have a significant and
positive effect on FT adoption rates among financial sector stakeholders. The regression
analysis indicates a strong model with a correlation coefficient of 0.825 and an R-squared value
of 0.681, suggesting that approximately 68.1% of the variance in FT adoption can be explained
by these variables. The study emphasizes the importance of enhancing technological
infrastructure, ensuring security, and building user trust to accelerate adoption, especially in
rural and underserved areas. The results provide valuable insights for policymakers, financial
institutions, and technology providers aiming to foster financial inclusion and digital
transformation within Ethiopia’s banking and financial sectors. Recommendations include
targeted investments in infrastructure, security protocols, and awareness campaigns to promote
widespread acceptance and usage of financial technology solutions. Future research could
expand the sample size and incorporate longitudinal data to better understand trends over time.