Banking the unbanked through integration of banking services with mobile phone technologies in Tanzania the case of national microfinance bank (NMB) plc in Dar es Salaam area
No Thumbnail Available
Date
2015
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
University of Dar es Salaam
Abstract
Banking the unbanked through integration of banking services with mobile phone technologies is viewed as a means to increase financial inclusion in Tanzania as only 19% of total Tanzanian adult population had bank accounts in formal financial Insitutions in 2014 while 32% of adult population had mobile accounts with various Telecoms (World Bank, 2015). The general objective of this study was to explore the benefits and impact of integration of mobile banking or financial services offered by Telecoms and those offered by commercial banks via mobile phone technologies on financial inclusion of unbanked population in Tanzania. Specifically the research looked at gaps in financial services offered by Telecoms, gaps in regulatory framework, factors influencing use of mobile banking, and factors for successfully implementation of mobile banking services in banks.In order to achieve the purpose and objectives of this research; a sample of sixty (60) respondents participated in this study. Fifty (50) of them consisted of users and non users of mobile banking services, and ten (10) respondents were National Microfinance Bank staff who had knowledge in mobile banking services. Both quantitative and qualitative methods of data collection and analysis were used whereby semi-structured questionnaires were served on respondents through drop and pick method, and involved both closed and open questions. The findings reveal that majority of respondents are willing to use mobile banking services in future for their financial services, and believe that integration between Telecoms and Banks in offering mobile banking services will complement the limitation in Telecom offerings which will in turn increase financial inclusion as individuals will be able to link their bank accounts with their mobile phones for financial transaction. Currently, very few banks have integrated with Telecoms in offering financial services.In order for mobile banking services to be effective in financial inclusion, mobile banking services offered by Telecoms should be integrated into existing banking infrastructure for two main reasons; firstly cash is still a significant medium of transaction, and secondly financial infrastructure of ATMs is growing fast, and ATMs could be an additional agent network for mobile banking services; and are cost effective as opposed to agents maintained by Telecoms.
Description
Available in print form, East Africana Collection, Dr. Wilbert Chagula Library, Class mark
(THS EAF HG1616.M54T34W35)
Keywords
Banks and banking, Banks and banking, Mobile, Tanzania, Dar es Salaam area
Citation
Wambura, M. (2015) Banking the unbanked through integration of banking services with mobile phone technologies in Tanzania the case of national microfinance bank (NMB) plc in Dar es Salaam area, Master dissertation, University of Dar es Salaam, Dar es Salaam