Publication Details
Abstract
The increasing adoption of digital banking in Nigeria has transformed the way financial services are delivered, providing customers with convenient access to banking transactions through electronic platforms. However, the growing reliance on digital technologies has also increased the exposure of financial institutions and customers to cyber threats. This study assessed the impact of cyber insecurity on digital banking in Nigeria. A quantitative survey research design was adopted, and data were collected through a structured questionnaire administered online to 102 banking professionals involved in digital banking operations in Lagos and Abuja. The data were analyzed using descriptive statistics and hypothesis testing. The findings revealed that phishing, malware, and ransomware are among the most common cyber threats affecting digital banking systems. The study further showed that cyber insecurity has significant consequences, including financial losses, system downtime, reputational damage, and reduced customer trust. Although banks have implemented various cybersecurity measures such as firewalls, encryption, intrusion detection systems, and two-factor authentication, cyber threats continue to pose serious challenges to digital banking operations. The study concludes that strengthening cybersecurity frameworks, enhancing staff and customer awareness, increasing investment in advanced security technologies, and improving regulatory oversight are essential for protecting digital banking systems and sustaining customer confidence in Nigeria's financial sector.