Determinants of Internet Banking Adoption in Turkey

This study analyses individual level determinants of internet banking adoption in Turkey with a special focus on gender. Using a nationally representative household survey data, logistic regression models are estimated for quantification of the factors which influence consumer’s decision of internet banking adoption. Empirical results indicate that females are less likely to use internet banking compared to males in Turkey. Education level, being employed, household income level, frequency, variety and skill level of internet usage have significantly positive associations with likelihood of using internet banking services. Additionally, age demonstrates a non-linear association with the use of internet banking. Middle-aged Turkish citizens are more likely to employ internet banking tools compared to the young and the elderly. Hence, we conclude that the digital divide exists in the Turkish case and elimination of disparities in technology adoption has the potential to bring substantial benefits to the financial system in Turkey.