Predictors of the uptake on mobile banking in Uganda : a case study of Centenary Bank Makerere

Abstract

The sole purpose of this study was to examine the predictors of the uptake on mobile banking in Uganda and thus its aim was to find out whether socio demographic factors, banking practices and knowledge and attitude towards mobile banking had an impact on the uptake on mobile banking in Uganda. Analysis on these was done using frequency distributions, Pearson’s Chi-squared test for independence and logistic regression. Univariate analysis was done using frequency distributions, bivariate with Pearson’s Chi-squared test for independence and the following where selected for multivariate analysis; Age, Gender, Employment status, Education level, Frequency of mobile banking usage, Device connectivity to internet, Ease of mobile banking usage, standing in line is a waste of time and Mobile banking is more expensive than over the counter banking. From multivariate analysis, it was established that the predictors that significantly had an impact on whether the respondent trusted the mobile banking services were Age, Employment status, Education level, ease of mobile banking usage, and perception on whether mobile banking was cheaper than over the counter banking at P<0.05 a. Individuals in the age bracket 18-30 were 2 times more likely to trust mobile banking than those in the range 31-42 (OR=2.34934). Employment status was also a significant predictor of individual perception on whether to trust mobile banking or not to and from the results above an employed individual is 3 times more likely to trust the mobile banking service than other employment statuses (OR=3.25647). It was established that an individual that attained tertiary level of education is 3 times more likely to trust mobile banking services compared to one that obtained secondary education (OR=3.710496), individuals who found it easy to self-navigate the mobile banking platform were 3 times more likely to trust the platform compared to individuals that did not trust it (OR=3.35353) and lastly individuals that perceived mobile banking to be cheaper than over the counter banking were 4 times more likely to trust the mobile banking services compared to individuals that perceived mobile banking to be more expensive (OR=4.51091).