S. Mlanga

Effect of AI adoption on decision-making in quoted Nigerian deposit money banks

The study examined the effect of AI adoption proxies — AI-Based Automated Bookkeeping Usage and Predictive Analytics for Financial Forecasting — on Decision-Making efficacy within Nigeria's Quoted Money Deposit Banks (QMDBs). Using a quantitative survey design, data from 300 professionals across 13 NGX-listed banks were analyzed via multiple linear regression. Results demonstrate that both proxies significantly enhance decision-making quality, speed, and effectiveness, collectively explaining 79.6% of variance (R² = 0.796). Predictive Analytics exhibited the strongest impact (β = 0.402, p < 0.001), followed by AI-Based Bookkeeping (β = 0.317, p < 0.001). The findings validate AI's role in optimizing strategic outcomes amid Nigeria's infrastructural deficits, data fragmentation, and skill shortages. The study advocates for context-specific strategies, including integrated data infrastructure, workforce reskilling in AI interpretation, regulatory sandbox expansion by the Central Bank of Nigeria (CBN), and managerial change initiatives to foster data-driven cultures.