EXPLAINING ADOPTION OF CASH DEPOSITS THROUGH AUTOMATED TELLER MACHINES (ATMs) AMONG THE BANKS IN TANZANIA

This study investigated adoption of cash deposits through Automated Teller Machines (ATMs) among commercial banks in Tanzania with reference to six commercial banks namely CRDB Bank, National Microfinance Bank (NMB), National Bank of Commerce (NBC), First National Bank (FNB), Akiba Commercial Bank (ACB) and Access Bank (T) Ltd. Specifically, the study sought to determine the influence of perceived cyber security on adoption of cash deposits; to determine the influence of costs perception on cash deposit adoption through ATMs; and to identify available facilitating conditions and their influence on the adoption of cash deposits through ATMs. The study employed explanatory study design whereas knowledge was filled using causal-effect relationship assessment between the hypothesized variables. Data were gathered using questionnaires which were administered to the selected respondents- mainly employees from the selected commercial banks. The collected information was analyzed by SPSS program version 22.0. Correlation and multiple regression analysis were conducted to uncover the existing relationship between the study variables. The study found that all hypothesized study variables were positive and statistically significant on the adoption of cash deposits using ATMs as the dependent variable. Thus, it was concluded that cash deposit services using ATMs by commercial banks is still an issue of concern if the service is to be well spread, trusted and utilized as a reliable banking service for commercial Banks in Tanzania. The study recommends that the entities must work hard to ensure that security systems are reliable. Also they should advertise this service to enable it to have sufficient users to generate enough income for broadening the infrastructures as well as to cover the operating costs. This study finally suggested areas for further researches. First, a study should carried on determining why multinational banks that have successfully adopted the service in other countries have failed implement the same service in Tanzanian context. Secondly, as there are more than forty commercial banks in the country, another study could be conducted about the same phenomenon in a wider setting using other commercial Banks in the market in the country.