| Abstract: | The main aim of this study was assessing the factors influencing the practice of mobile banking in the case of Commercial Bank of Ethiopia, Kirkos District, Addis Ababa. A descriptive and explanatory research design is adopted using quantitative study methods. The research approach which used for this study was Quantitative in Nature. From 72,799 total population, 438 respondents were selected, to undertake the study. Descriptive analysis, correlation analysis and linear regression was used to analyze the gathered data. The result of the study indicates that there is a positive significant relationship between perceived risk, trust, convenience, relative advantage; and practice of mobile banking. There is a positive significant relationship between perceived risk, trust, convenience, relative advantage and Practice of Mobile Banking. Perceived risk, trust, convenience, and relative advantage is at (r=.304** p<0.01), (r=.300** p<0.01), (r=.316** p<0.01), and (r=.384** p<0.01) respectively. Thus, it can be concluded that there is strong relationship between the independent and the dependent variable. Linear regression analysis revealed that amount for r = 0.911 which explains a strong positive relationship between predictors and Practice of Mobile Banking. It means that the relationship between perceived risk, trust, convenience, relative advantage in Commercial Bank of Ethiopia is very strong, and by increasing the quality of one the other one will increase as well. The R2 result are safe to say that Practice of Mobile Banking is about 86.2 % dependent over trust, convenience, relative advantage. Therefore, the conclusion of this study is that practice of mobile banking meet the expectations of the trust, convenience, relative advantage. Thus, this research has provided valuable knowledge and information to banks, service developers, and software engineers to enhance consumers’ intention to practice mobile banking services in future. Finally, the researcher has recommended that Commercial banks, financial institutions and the providers of digital financial services should create awareness of the benefits of mobile banking services that include: financial inclusion, easy access to mobile banking services and convenience in performing transactions. |
