The Impact of Deposit Level on Lending of Saccos Regulated by Sasra in Nairobi
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Date
2012-10Author
Musasiah Justus K
Type
ThesisLanguage
enMetadata
Show full item recordAbstract
The objective of the study was to determine the impact of deposit level on lending of
SACCOs regulated by SASRA. The study looked at the Nairobi based SASRA regulated
SACCOs in an attempt to find out whether deposits level impacted on lending .The study
tried to determine whether there any other factors that impact on lending apart from
deposits level.
The study was a survey of Nairobi based SACCOs that are regulated by SASRA for the
period 2007 to 2011. Secondary data was collected from the financial statements of
individual SACCOs and analyzed using SPSS and advanced MS Excel. The t statistics
and F significance ANOVA were used to test the hypothesis.
The findings revealed that deposit levels positively impacted lending of SASRA
regulated SACCOs in Nairobi during the period under study. Capital and interest rates
either positively or negatively influenced lending. This is consistent with findings of past
similar studies that concluded that growth in deposit levels results in increased lending.
This study was limited to SACCOs in Nairobi due to ease of access and recommends
studies to be carried out to cover all other SACCOs were left out. Further, there is need to
focus on regulations covering other players in the financial services sector such as banks
and other microfinance institutions.
Publisher
University of Nairobi