Factors Influencing Deposit Mobilisation in Higher Learning Institutions’ Financial Entities: A Case Study of TEWW-SACCOS Ltd

Abstract

This paper reports the study findings that had assessed the factors influencing deposit mobilisation in Tanzania’s higher learning institutions’ financial entities a case of TEWW SACCOS LTD. The specific objectives of the study were to determine the factors mostly influencing the TEWW SACCOS LTD deposit mobilisation; establish the effect of interest rates on a variety of services on its deposit mobilisation; and determine the extent to which employees’ salary levels affect its deposit mobilisation. The study was conducted on three campuses and eight centres of the IAE. Purposive sampling was used to draw a sample of 45 respondents from a population of 85 TEWW SACCOS’ members from whom primary data was collected. Data analysis used descriptive statistics processed under SPSS version 20. The findings indicate that most of the respondents (42.2% and 22.2%, respectively) confirmed that the employee’s salary levels and the varying services rendered adversely affected the TEWW SACCOS LTD deposit mobilisation. The interest rates, are also, insignificantly affected the variety of services and TEWW SACCOS’s deposit mobilisation. The effects of employees’ salary levels emerged to be three times more adverse than any other factor on TEWW SACCOS LTD deposit mobilization. Thus, it is recommended that the TEWW SACCOS LTD needs to increase number or service varieties rendered while rethinking the applicable collateral. Moreover, the TEWW SACCOS LTD management through the employer should endeavoured into reformation and encourage more members to join the TEWW SACCOS LTD to boost the deposit mobilisation.