IDEAS home Printed from https://ideas.repec.org/a/bcp/journl/v6y2022i10p50-58.html
   My bibliography  Save this article

Mobile Banking Services and Performance of Informal Businesses in Nairobi, Kenya

Author

Listed:
  • Rahab Wanjiru Waihenya

    (Post Graduate Student, Management University of Africa, Kenya)

  • Prof. Peter Kithae

    (Associate Professor, Management University of Africa, Kenya)

Abstract

The paper purposed to examine the effect of mobile banking savings mobilization and credit accessibility on performance of informal businesses in Nairobi. The study was anchored on two major theories; namely; financial intermediation theory and modern economic theory which guided research objectives examined in the study. Descriptive research design was used. The population of interest consisted of 11,000 participants of informal businesses in Nairobi County. The sample size for the study was 386 participants drawn from the business categories. The method of data collection instruments involved the use of primary and secondary data. The primary data was obtained from the questionnaire and the secondary data was obtained from desk review. The researcher obtained authorization letter from the University to carry out the data collection. Data was collected using questionnaire. The study employed cross – sectional descriptive design analysis and inferential statistics. The Statistical Package for Social Sciences (SPSS version 24) was used for data analysis. Multiple regression model was used to establish the relative significance of each of the variables on the effect of savings mobilization, and credit accessibility on performance of informal businesses in Kenya. The study found out that mobile banking savings mobilization enhanced performance of their businesses to a very great extent. Credit accessibility was also found to affect informal businesses performance to a very great extent. The study concluded that saving mobilization, credit accessibility, have a positive and significant effect on performance of informal businesses in Kenya. The study recommended enhanced security and safety of data and banking transactions to safeguard the informal business owners from cybercrimes which had become rampant worldwide. Financial Institutions should ensure first grade mobile banking infrastructure to support faster transactions and enhanced security.

Suggested Citation

  • Rahab Wanjiru Waihenya & Prof. Peter Kithae, 2022. "Mobile Banking Services and Performance of Informal Businesses in Nairobi, Kenya," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 6(10), pages 50-58, October.
    • Handle: RePEc:bcp:journl:v:6:y:2022:i:10:p:50-58
    as

    Download full text from publisher

    File URL: https://www.rsisinternational.org/journals/ijriss/Digital-Library/volume-6-issue-10/50-58.pdf
    Download Restriction: no
    File URL: https://www.rsisinternational.org/virtual-library/papers/mobile-banking-services-and-performance-of-informal-businesses-in-nairobi-kenya/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. World Bank, 2012. "The World Bank Annual Report 2012," World Bank Publications - Books, The World Bank Group, number 11845, December.
    2. William Jack & Tavneet Suri, 2011. "Mobile Money: The Economics of M-PESA," NBER Working Papers 16721, National Bureau of Economic Research, Inc.
    3. World Bank, 2012. "The World Bank Annual Report 2012," World Bank Publications - Books, The World Bank Group, number 11846, December.
    4. World Bank, 2012. "The World Bank Annual Report 2012," World Bank Publications - Books, The World Bank Group, number 11844, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Charyulu, Kumara D. & Singh, N.P. & Shyam, Moses D. & Bantilan, C., 2014. "Development and Diffusion of Dryland Cereals in Semi-Arid Tropics of India — Role of Partnerships," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 27(Conferenc).
    2. Surabhi Singh & Moushumi Basu, 2014. "A Subaltern Reading of International Organisations and Issues of Order, Disorder and Marginality," South Asian Survey, , vol. 21(1-2), pages 164-179, March.
    3. Mukherjee, Swayambhu & Kar, Saibal, 2020. "Leveraging Non-Farm Income: Micro-evidence of Occupational Choice for Rural Households in India," MPRA Paper 109940, University Library of Munich, Germany.
    4. Legovini, Arianna & Di Maro, Vincenzo & Piza, Caio, 2015. "Impact evaluation helps deliver development projects," Policy Research Working Paper Series 7157, The World Bank.
    5. Ochia, Stevenson Enemuwa (Doctorial Student) & Bobmanuel, Karibi Benson PhD & Umunnah, Blessing Onyinyechukwu PhD, 2022. "Port Harcourt Residents’ Perception of Energyplatform Programme on Nigeria Info 92.3FM," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 6(12), pages 794-802, December.
    6. Robert G. Blanton & Shannon Lindsey Blanton, 2015. "Is Foreign Direct Investment "Gender Blind"? Women's Rights as a Determinant of US FDI," Feminist Economics, Taylor & Francis Journals, vol. 21(4), pages 61-88, October.
    7. Xhoxhi, Orjon & Pedersen, Søren Marcus & Lind, Kim Martin & Yazar, Attila, 2014. "The Determinants of Intermediaries’ Power over Farmers’ Margin-Related Activities: Evidence from Adana, Turkey," World Development, Elsevier, vol. 64(C), pages 815-827.
    8. Jaber, J.O. & Elkarmi, Fawwaz & Alasis, Emil & Kostas, Anagnostopoulos, 2015. "Employment of renewable energy in Jordan: Current status, SWOT and problem analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 49(C), pages 490-499.
    9. Rachel Wolfgramm & Sian Flynn-Coleman & Denise Conroy, 2015. "Dynamic Interactions of Agency in Leadership (DIAL): An Integrative Framework for Analysing Agency in Sustainability Leadership," Journal of Business Ethics, Springer, vol. 126(4), pages 649-662, February.
    10. Kent Matthews, 2014. "Cost Inefficiency in the Pakistan Banking Sector 2002-2009," SBP Research Bulletin, State Bank of Pakistan, Research Department, vol. 10, pages 1-20.
    11. Lee, Chien-Chiang & Lin, Chun-Wei & Zeng, Jhih-Hong, 2016. "Financial liberalization, insurance market, and the likelihood of financial crises," Journal of International Money and Finance, Elsevier, vol. 62(C), pages 25-51.
    12. Chileshe Ng’andu Musaba & Emmanuel C. Musaba & Simon I.R. Hoabeb, 2014. "Employee Perceptions of Service Quality in the Namibian Hotel Industry: A SERVQUAL Approach," International Journal of Asian Social Science, Asian Economic and Social Society, vol. 4(4), pages 533-543, April.
    13. Samuel Egyakwa Ankomah & Adam Fusheini & Christy Ballard & Emmanuel Kumah & Gagan Gurung & Sarah Derrett, 2021. "Patient–public engagement interventions for health system improvement in Sub‐Saharan Africa: A systematic scoping review protocol," International Journal of Health Planning and Management, Wiley Blackwell, vol. 36(2), pages 273-281, March.
    14. Guido de Blasio & Stefania De Mitri & Alessio D'Ignazio & Paolo Finaldi Russo & Lavina Stoppani, 2017. "Public guarantees on loans to SMEs: an RDD evaluation," Temi di discussione (Economic working papers) 1111, Bank of Italy, Economic Research and International Relations Area.
    15. Josef Brechler & Vaclav Hausenblas & Zlatuse Komarkova & Miroslav Plasil, 2014. "Similarity and Clustering of Banks: Application to the Credit Exposures of the Czech Banking Sector," Research and Policy Notes 2014/04, Czech National Bank.
    16. Stephen P. D’Alessandro & Jorge Caballero & John Lichte & Simon Simpkin, 2015. "Kenya," World Bank Publications - Reports 23350, The World Bank Group.
    17. Karimo, Tamarauntari M., 2015. "The Impact of Economic Liberalization Policy on Performance of the Nigerian Industrial Sector - L’impatto della politica di liberalizzazione economica sulla performance del settore industriale in Nige," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 68(2), pages 229-257.
    18. Ayaz Hussain & Umar Draz & Tariq Ali & Saman Tariq & Muhammad Irfan & Adam Glowacz & Jose Alfonso Antonino Daviu & Sana Yasin & Saifur Rahman, 2020. "Waste Management and Prediction of Air Pollutants Using IoT and Machine Learning Approach," Energies, MDPI, vol. 13(15), pages 1-22, August.
    19. Muliadi Muliadi & Dio Caisar Darma & Jati Kasuma, 2020. "MSMEs as mediation in the effects of investment credit, interest rates, and labor on economic growth: Evidence from Indonesia," International Journal of Finance & Banking Studies, Center for the Strategic Studies in Business and Finance, vol. 9(2), pages 01-12, April.
    20. Stelios Grafakos & Alberto Gianoli & Alexandra Tsatsou, 2016. "Towards the Development of an Integrated Sustainability and Resilience Benefits Assessment Framework of Urban Green Growth Interventions," Sustainability, MDPI, vol. 8(5), pages 1-33, May.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bcp:journl:v:6:y:2022:i:10:p:50-58. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dr. Pawan Verma (email available below). General contact details of provider: https://www.rsisinternational.org/journals/ijriss/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.