Saving and Investment Practice of Bank Workers: Case of Commercial Bank of Ethiopia Wolaita Sodo Branch Workers

Abstract

The study is conducted on the title ‘determinants of saving and investment of bank workers case of commercial bank of Ethiopia wolaita sodo branch workers’ with the general objective of assessing determinants of saving and investment of bank workers. From a total of 72 target populations, sample size of 50 is selected using simple random sampling technique. The finding indicates that 86% of the respondents save from their monthly income for the  purpose of saving is payment of educational fee, purchase of residence, investing the money in income generating activities and purchase of home facilities. This shows that only very few (11.63 %) of them save for investment activities. slightly more than half of the respondents save more than 10% of their monthly income for the mentioned purposes. Bank, microfinance institutions and credit and saving associations are the financial institutions where they save. Majority of the respondents saving experience is 1 to five year. Salary amount, number of dependent family members, interest rate on saving account and holidays are major determinants of saving for the bank workers. Awareness creation, additional jobs, family planning, making incentives as encouragements, trainings, and proper use of resources were recommended as solutions.

Keywords: Commercial bank, Employees, Saving habits, Wolaita Sodo

DOI: 10.7176/RJFA/10-7-04

Publication date: April 30^th 2019