E-Banking Services and Performance of Cooperative Bank of Oromia

Electronic banking service is growing rapidly in the world, Cooperative bank of Oromia is putting its maximum exertion to travel with technology of E- banking services. E-banking has its own effect on financial performance of the bank. This research mainly investigates the effect of E- banking on the financial performance of the Cooperative Bank of Oromia by focusing on the bank’s performance and size. For primary data collection branch staffs and managers will be interviewed while secondary data will be collected from branch documents like report of daily transactions, profit of branch and customer related data will be reviewed.


Analytical Model
For this study, return on asset was used as a dependent variable which is determined by many factors. And those factors have chosen by taking in to account the availability of data and its influence on bank performance.
The analytical model was as follows ROA= α0 + β1NATM+β2NPOS+ β3NMBU+ β4BS+ε Where: ROA is the dependent variable (Performance i.e. Return on Asset) α0 is the regression constant β1, β2, β3, and β4 are the coefficients of independent variables, NATM is Number of ATM terminals NPOS is Number of POS terminals NMBU is Number of Mobile banking users BS is the Bank Size ε is the Error Term.

Introduction
This part covers the analysis of the data concerning the effect of e-banking services, the effect of mobile banking, the influence of agent banking, the influence of internet banking, and the impact of automated teller machines on the cooperative bank of Oromia' performance. This part also presents the research findings organized into the following sections: response rate, reliability tests, demographic characteristics, descriptive statistics, diagnostic tests, and inferential statistics.

Response Rate
The researcher administered questionnaires to participants who were from the targeted population of senior managers and operations managers. Logistical and financial constraints reduced the sample size respondents. However, some of the questionnaires were returned, which represents 83.33% response rate.

Reliability Test
The reliability of the data was checked using Cronbach's alpha ( In this case, all variables (Table 5.2) had Cronbach's alpha values that are greater than the threshold of 0.7. This finding implies that the variables used in the study are reliable and valid for regression analysis.

Mobile Banking and Performance
This section focuses the level of agreement on the impact of mobile banking on the banks' performance using a scale of 1-5 where 1 represents not at all (NAA) and 5 represents strongly agree (SA). The analysis was carried out using mean (M) and standard deviation (SD). The study results are as shown in Table 5.4. As shown in Table 5

Internet Banking and Performance
The research sought to establish the level of agreement on the effect of internet banking on the performance of cooperative bank of Oromia using a scale of 1-5 where 1 represents not at all (NAA) and 5 represents strongly agree (SA). The study results are as presented in Table 5.6.  www.ijsrp.org

Automated Teller Machine and Performance
The research sought to establish the level of agreement on the effect of automated teller machine on the performance of CBO using a scale of 1-5 where 1 represents not at all (NAA) and 5 represents strongly agree (SA). The study results are as presented in Table 4.7 The study findings as shown in Table 5. protection, satisfaction, security, and responsiveness to enhance delivery of baking services through ATM.

Performance
Concerning measuring the performance, the respondents were asked to indicate whether on average the bank performance parameters were improving over the past 5 years. Table 5.8 illustrates these findings. As shown in Table 5 This section investigates how respondents rate statements on the performance of CBO. The study findings as shown in Table 5.9 indicate that most of the respondents stated that there were good improvements in ROE

Diagnostic Tests
Diagnostic tests were performed to check if the data meet the assumptions of linearity, reliability, and collinearity, which are necessary for robust regression analysis (Field, 2017). In this view, tests of linearity. Table 4.10 indicates outcomes of the linearity tests of the performance the bank and its connection with ATM banking, internet banking, mobile banking, and agency banking. Results indicates that mobile banking (p = 0.065), agency banking (p = 0.068), internet banking (p = 0.231), and ATM banking (p = 0.091) do not deviate significantly from the linearity. According to Field (2017), variables for regression analysis must exist on a continuous scale and exhibit linear relationships. In this case, mobile banking, agency banking, internet banking, and ATM banking met the assumption of linearity. Table 5.11 shows collinearity tests of agency banking, mobile banking, internet banking, and ATM banking. In this case, all variables do not have multicollinearity problem, and thus, meet the assumption of regression analysis.

Regression Analysis
Multiple regression analysis was used to develop a model that predicts the effect of e-banking strategies on the performance of www.ijsrp.org Table 5.12 shows the outcomes of multiple regression analysis examining the impact of internet banking, agency banking, mobile banking, and ATM banking on the performance of cooperative bank of Oromia.   The ANOVA shows that the regression model is statistically significant in forecasting the combined influence on e-banking strategies on the performance of cooperative bank of Oromia, F(4,95) = 58.155, p = 0.000. This shows that the model is fit for predicting the combined influence on strategies of e-banking on the performance of cooperative bank of Oromia.

Conclusions
The study established that e-banking services predict cooperative bank of Oromia's performance in Ethiopia. As the study revealed agency banking and mobile banking are statistically significant predictors, it suggests that effective utilization of these-e-banking strategies would drive the growth and performance of banks in Ethiopia. Since the study found that internet banking and ATM