Strategic Evaluation of Digital Accounting Technologies and Their Influence on the Financial Performance of Listed Deposit Money Banks in Nigeria

This study investigates the relationship between digital accounting technologies and the financial performance of licensed deposit money banks (DMBs) in Nigeria. It focuses on three core innovations — data analytics, automated bookkeeping, and cloud-based accounting systems — and how they collectively contribute to organisational performance. A survey research design was adopted, targeting DMBs with international authorisation licenses as of April 26, 2024. Out of Nigeria’s 44 licensed banks classified into seven licensing categories, seven major DMBs, Access Bank Limited, Fidelity Bank, First City Monument Bank Limited, First Bank Nigeria Limited, Guaranty Trust Bank Limited, United Bank for Africa Plc, and Zenith Bank Plc, were selected. These institutions collectively employed 38,748 staff members. Using the Taro Yamane formula, a sample size of 396 employees was determined, and stratified sampling was applied. Data collection was conducted through a self-administered questionnaire, which yielded a reliability coefficient of 0.741 as measured by Cronbach’s Alpha. Data analysis employed descriptive statistics and linear regression, which were processed using SPSS. Out of 396 distributed questionnaires, 379 were valid for analysis. Results revealed that data analytics, automated bookkeeping, and cloud-based accounting systems each had a statistically significant and positive effect on financial performance. The study concludes that embracing digital accounting innovations substantially improves operational efficiency and profitability in Nigeria’s banking sector. It recommends, among other measures, that DMBs enhance their data analytics capabilities to sustain competitive advantage.