IMPACT OF MOBILE BANKING ON FINANCIAL INCLUSION IN RURAL MWANZA REGION IN TANZANIA
Keywords:
Mobile Banking, Financial Inclusion.Abstract
This study focused on the impact of mobile banking on financial inclusion in Magu district, Mwanza region. The objective of the study was to understand the determinants and effects of financial institution’s penetration on the use of mobile accounts and services as opposed to in-branch official banking services. The study focused on three objectives which are to identify social-economic determinants of the use of mobile banking services compared to official banking services users only, to understand the impact of financial penetration of the institution on the use of mobile banking services, and to suggest recommendations that might be inevitable to increasing levels financial inclusion through use of mobile banking. The study used data sample drawn from the Magu district population from Kisesa Ward. The sampling procedure to be used is the random sampling that increases accuracy and precision of the data to be used. Findings showed that individuals mostly use mobile banking for sending and receiving money from one place to another, and it is not used for mobile banking payments such as buying airtime from a mobile bank account directly or payment of other bills. Furthermore, education level and the income status of the head of household, had a significant positive effect on financial inclusion.
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