Households Saving Behavior: Knowledge, Practice and Affecting Factors in North Gondar Zone, Amhara, Ethiopia

Abstract

This study aims on analyzing the socio-economic determinant of households saving in north Gondar using descriptive analysis. From the descriptive analysis the average monthly income of households was found 1473.83 Birr. 54% of the total respondents have saving practice, and urban dwellers relatively save better than rural dwellers. Female headed households save 55% higher than male headed households. Moreover, those who have known time pattern of money getting save 221% more than the unknown time pattern do.  The findings also indicate that those households who kept their money at home and used traditional saving ways save 451% and 74% less respectively than these who used banks. Related with respondents’ family background on saving and expenditure 52.2% have had no discussions with their family. Common reasons found for households not to save are cultural background, lack of money, lack of education, social affairs, inflation, unemployment and low interest rate.

Keywords: Household Saving, Socio-Economic Analysis, North Gondar