analysis Of Employee's Percepation On The Impact Of Deposit Mobilization And Loan Disburse Ment on financial performance:Acase Of Banking Industry In Ethiopia

Abstract

Deposit mobilization and loan disbursements are the most fundamental activity and the life blood of financial institution performance, particularly, the Banking industry. In view of this, the study tested analysis of employee’s perception on the impact of deposit mobilization and loan disbursement on the financial performance. The study employed mixed research approach and cross-sectional survey research design. Data was collected through primary (administration of questionnaire and an in-depth interview) and also secondary sources. The study is finding out the deposit mobilization and loan disbursement has a correlation and a significant impact on financial performance. Financial performance has a strong correlation with DM and moderate correlation with LD variables. Finally, the study revealed that Banks Branches managers’ conducted the deposit mobilization and loan disbursement with no pledged management recognition and staff , inadequate service provide, and lack of society awareness were major challenges of DM and LD that affect the financial performance. Based on the findings and conclusion the banking industry should attract deposit and loan by Improving the management and employees’ commitments, providing convenience technologies and enhance awareness of society about the bank service, provide accessible banking service through expanding number of branches, introduce and enhance E-banking such as internet banking, card banking mobile banking.