ASSESSMENT OF AGENT BANKING SERVICE: CASE STUDY ON LION INTERNATIONAL BANK AGENTS

Abstract

This thesis aims to assess agent banking service in the lion international bank with respect to the barriers which can influence firms from taking advantage of agent banking system. The study was conducted based on the data gathered from the bank agents in Addis Ababa region. A quantitative research approach was used to answer the research questions that emerge through the review of existing literature. The study statistically analyses data obtained from the survey questionnaire. The research work was delimited to relevant agents having direct role to the subject matter. Additionally, the researcher tried to review various empirical and theoretical literatures in light of having an in-depth understanding on the subject matter to supplement the research construct. A research framework developed based on Technology acceptance model to guide the study. The result of the study indicated that, the major barriers agent banking industry faces in the provision of the service are, lack of awareness , be deficient in trust, lack of supportive training , Lack of ICT infrastructure as well as be deficient in competitiveness’ with other banks. The study also identified perceived ease of use and perceived usefulness as a driver for the frequent use of agent banking system. The study suggests a series of measures which could be taken by the bank to address various challenges identified in the thesis. These measures include: Establishing a frequent training to minimize knowledge gap between agents also work on creating awareness to the society, supporting agent banking by working with ethio tel come to work on ICT infrastructure and network problem, banks needs to be focused on technological innovation competition rather than traditional bases of retail bank competition so the bank have to be work on providing other channels.