Net Banking also is known as internet banking has gained momentum due to the rise of the coronavirus outbreak.
Net Banking, also known as online banking or Internet Banking, is an electronic payment system. It allows you to conduct many different types of transactions through the internet from the comfort of your home. Be it transferring funds to another bank account or checking the transaction statements, you can do them all and much more with the help of Internet Banking.
As the commercialization of the internet evolved in the early 1990s, traditional brick-and-mortar banks began looking for ways to deliver online services to their customers. But with the arise of coronavirus net banking has gain momentum all over the world as well as Pakistan.
According to State Bank of Pakistan (SBP), a total of 2.3 million Internet Banking users were registered by the end of June 2017 with 25 banks offering a variety of financial services through Internet Banking (IB) like Intrabank & Interbank Fund transfer, scheduled fund transfers, Utility Bills Payments, Mobile Air-time top-up, Intra-bank credit card payments, School fee payments, etc.
Pakistan is ranked 16th across the world lagging behind countries of lesser and greater economies including Kenya, Uganda, Nigeria, Turkey, South Africa, and India, according to a report by the Center of Technology Innovations at Brooking.
According to health recommendations, one of the most effective ways to contain the current COVID-19 epidemic is to avoid personal contact. This means reducing the movement of people and increasing the time they spend at home as much as possible. In line with these indications, most banks in the affected countries have reduced the opening hours of their branches and they recommend their customers use online banking.
Thus the increase in the adoption of online banking services is being driven by the pandemic and the health restrictions in place as a result, it could bring about positive change in the medium and long term.
In this scenario, the State Bank of Pakistan (SBP) has undertaken a number of measures to battle the pandemic by promoting digital payments, internet, and mobile banking. While banks are advised to assist their customers in using online banking by taking all necessary precautions ensuring the safety and security of customer’s funds, the financial industry is also instructed to immediately facilitate education fees and loan repayments through internet banking or mobile devices.
Hence the corona pandemic has affected positively on online banking and people are using internet banking rather than traditional banks in order to avoid the virus.