International Journal of Economics, Commerce and Management United Kingdom Vol. III, Issue 9, September 2015 Licensed under Creative Common Page 830 http://ijecm.co.uk/ ISSN 2348 0386 THE RELATIONSHIP BETWEEN ELECTRONIC BANKING AND LIQUIDITY OF DEPOSIT MONEY BANKS IN NIGERIA Ahmadu Abubakar Department of Business Management, Federal University, Dutsin-ma, Katsina State, Nigeria aabubakar@fudutsinma.edu.ng, ahmedabubakartamed@yahoo.com Jibrin Nuhu Shagari Department of Business Management, Federal University, Dutsin-ma, Katsina State, Nigeria njibrin@fudutsinma.edu.ng, tawakaltu1428@yahoo.com Kazeem Lekan Olusegun Department of Business Management, Federal University, Dutsin-ma, Katsina State, Nigeria kolusegun@fudutsinma.edu.ng Abstract This study examined the relationship between electronic banking and liquidity of deposit money banks in Nigeria, using time series data for the period 2006- 2014. The data was analyzed using both descriptive and correlation analysis to describe the data set and to identify the association between electronic banking, proxies by internet banking, mobile banking and point of sale, and liquidity, proxy by current ratio respectively. Results from the correlation analysis reveal that mobile banking and point of sale had no significant relationship with liquidity, while there is significant negative relationship between internet banking and liquidity. The study recommends among others that mobile banking and point of sale transactions limit should be maintained, while internet banking transaction limit should be reviewed downwards since an upward review will affect liquidity of deposit money banks negatively. Key words: Electronic Banking, Liquidity, Internet Banking, Mobile Banking, Point of Sale