Journal of Finance and Investment Analysis
Intervening Effect of Savings Mobilization on the Relationship between Bancassurance and Financial Performance of Commercial Banks in Kenya
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This study sought to establish the intervening effect of savings
mobilization on the relationship between bancassurance and financial
performance of commercial banks in Kenya. The study employed both primary and
secondary data. Primary data was gathered by semi-structured questionnaires.
The respondents were 27 commercial banks undertaking bancassurance. Data analysis was carried out by descriptive statistics and regression analysis
by applying the Baron and Kenny (1986) model. Findings indicated that savings
mobilization had no significant intervening effect on the relationship between
bancassurance and financial performance of commercial banks. This suggests that the customer deposits relating to bancassurance
mobilized by commercial banks in Kenya are not significant enough to have
positive impact on pre-tax profits, return on assets and the ratio of
non-interest income to total income. Managers of commercial banks need to come
up with strategies to increase the savings mobilization dimension of bancassurance.
JEL classification numbers: L25
Keywords: Bancassurance, Savings Mobilization,
Financial Performance and Intervening Effect.
ISSN: 2241-0996 (Online)