FACTORS AFFECTING THE ADOPTION OF MOBILE BANKING IN SELECTED COMMERCIAL BANKS IN ETHIOPIA

The aim of this study is to examine the factors affecting the adoption of Mobile banking in selected commercial banks in Ethiopia, namely Commercial bank of Ethiopia, Awash Bank, Dashen Bank, and Abyssinia Bank. To attain the objective of the study, primary data were collected through questionnaire from a sample of 267 bank customers who use mobile banking service. The respondents were selected using purposive sampling technique. The data was analyzed using statistical methods such as mean, correlation, and regression analyses via STATA software. The study investigated Perceived usefulness, Perceived ease of use, Attitude, Awareness, Security and privacy and technological self-efficacy as factors that affect the adoption of Mobile banking. The results indicate that, Perceived usefulness, Perceived ease of use, Attitude, Security and Privacy have positive and significant effect on adopting Mobile banking while technological self –efficacy and Awareness have no significant effect in adoption of Mobile banking. These factors together explain 59.3% of the variations on Mobile banking adoption and the rest 40.7 of the variation was explained by other factors that are not included in the model. Based on the findings, the study forwards some recommendations as the bank should give a high priority in boosting the trust and confidence of the customer; the bank should pay attention in terms of the user friendliness and informative content of the mobile banking system and the bank have to change the attitude of the customers by educating the benefit of Mobile banking service.