Browsing by Author "Kagoda Joseph Robert"

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    Assessing the Agency Banking Model by Equity Bank Uganda Limited.
    (Makerere University Business School, 2022-05-12) Kagoda Joseph Robert
    The purpose of this study was to assess the implementation of the agency banking model at Equity Bank Uganda Limited by examining its implementation, identifying the challenges affecting its effectiveness, and proposing strategies for improving its performance. The study was motivated by the increasing number of dormant accounts, customer complaints, low agent penetration, and the gap between the expected and actual performance of the agency banking model despite its potential to enhance financial inclusion and market growth. A quantitative cross-sectional research design was adopted. The study targeted 60 staff in the Agency Banking Department at Equity Bank Uganda Limited, from whom a sample of 52 respondents was selected using simple random sampling. Data were collected using structured questionnaires, and 49 valid responses were obtained, representing a response rate of 94.2%. Data were analyzed using the Statistical Package for the Social Sciences (SPSS Version 23). Descriptive statistics, including frequencies, means, and standard deviations, were used to analyze the data. The findings revealed that the agency banking model has enhanced customer outreach, reduced transaction costs, increased customer growth, expanded banking service accessibility, and provided greater convenience through extended service hours. However, the study established that the implementation of agency banking is constrained by internet connectivity challenges, frequent customer complaints, high operational and establishment costs, system downtime, inadequate agent capacity to handle large transactions, limited agent competency, and customer skepticism toward agency banking services. The study further found that improving agency banking requires lowering the minimum requirements for agent recruitment, providing overdraft facilities to agents, promptly addressing customer complaints, strengthening internet connectivity, ensuring system reliability, conducting regular agent training, enhancing customer awareness, and strengthening supervision of agents. The study concludes that while agency banking has significantly improved financial service delivery and customer access, its full potential can only be realized by addressing operational, technological, and customer-related challenges. The study recommends that Equity Bank regularly review its agency banking strategy, strengthen customer sensitization programs, improve technological infrastructure, collaborate with internet service providers to enhance connectivity, and maintain high operational standards to improve customer satisfaction and the overall effectiveness of the agency banking model. [AI Generated Abstract]