Effects Of Agency Banking On The Performance Of Selected Commercial Banks In Kenya

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Date

2017-11

Journal Title

Journal ISSN

Volume Title

Publisher

Daystar University, School of Business and Economics

Abstract

Despite the increasing use of agency banking in Kenya, the effects of agency banking on performance of banks in Kenya is yet to be determined. This study sought to fill that exact gap by assessing the effect agency banking has on the performance of banks in Kenya. The study applied a descriptive research design. While the total population of this study was 13 commercial banks, the target population for the purpose of this study narrowed down to three of Kenya’s leading banks whose selected staff, agents and customers served by agents were engaged. Purposeful sampling technique was used in identifying the respondents. The study used both primary and secondary data. The questionnaires were subjected to pretesting before being adminstaered to the respondents. For purposes of analysis, descriptive statictics as well corelation and regression analysis were used. From the findings of this research, adoption of agency banking is recommended for the benefits it presents to the banks that adopt the model. Agency banking has provided answers to bank’s dilemas of how to feasibly grow wider distribution networks, drive financial inclusion, bridge the access gaps to financial services for their target customers as well as facilitate and make it easier for their customers to run their transactions. These interventions brought about by agency banking have received such positive responses by the customers of banks that have rolled out the model as rerflected in these bank’s performance. This study therefore recommends that there should be adoption of agency banking for improved performance by commercial banks. The requirements for operating an agency should be revised to encourage more agents to engage in the business.

Description

Master Of Business Administration In Strategic Management And Marketing

Keywords

Agency Banking, Performance Of Selected Commercial Banks In Kenya

Citation

Njau. D. (2017). Effects Of Agency Banking On The Performance Of Selected Commercial Banks In Kenya. Daystar University School of Business and Economics