Effects of mobile money on mobile money operators in makindye division kampala, uganda; a case study of airtel, kabalagala branch:
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Date
2019-07
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Kampala International University, College of Economics and Management.
Abstract
The purpose ofthe study was to assess the effect ofmobile money tax to mobile money users in
Uganda in accordance to Airtel Uganda Kabbalagala perspective.
The study was based on three spec~c objectives; to determine the effect ofmobile money tax to
the Airtel Company, to examine the effect ofmobile money tax to the mobile money customers in
Kabalagala and to establish the effect of mobile money tax to mobile money Agents in
Kabalagala It was based on a cross sectional descrz~tive survey design basing on the use of
qualitative and quantitative approaches those mobile money operators in Makindye division,
Airtel Uganda Kabbalagala. Simple random sampling and purposive sampling techniques were
used in the study. Questionnaires were used to collect primary and secondary sources of data
from 50 out of 60 respondents, using simple random sampling. Data analysis was done using
SPSS ‘sfrequencies. Finally the report looked at the study results and gave the discussion ofeach
finding. Therefore, here, data analysis, procedures and response rate are focused on.
Then the findings according to objective one revealed that, high taxes paid by mobile money
operators reduce their profits which had a negative effect on the Mobile money company in
Makindye division Kabalagala branch with 68% ofrespondents who strongly agreed and 20%
agreed. According objective two, the positive effect ofMobile money reducesfinancial pains and
difficulties in making payment indicate that customers are convinced with Cash flow
management thus the credit management and have greatly increased overtime by response of
68% and there are suggestions with mobile money, the poor have a simple and safe way to save
money for future healthcare costs and has greatly increased overtime by 59%.According to
objective three, on average ofthe effect ofmobile money to agents is that they face the problem
offraud by the customers in Airtel money Kabalagala branch in Makindye Division Kampala
District a negative effect that mobile money agents have no security in their operation of their
services to customers and the findings over 73% levels of agreement on the areas provided /
studied or selected and those who agreed with 15%. Having gone through this topic, it was
reasonable to conclude that mobile money is increasingly becoming a critical part of the
nation economy. It also serves as a source of government revenue and as such any tax imposed
should not inhibit or limit the development ofthe industry. As it is applied today, the tax remains
ambiguous leading to points of revenue leakage however it does not appear to signicantly
distort the industry.
Recommendation, Based on the findings made from this research study, the following
recommendations are therefore made: From the findings it is recommended that consultations
between the revenue authority and stakeholders should be fostered and encouraged.
Consultations with regulatory authorities, telecom companies and subscribers should be made
the norm prior and subsequent to the introduction of any tax in the telecommunications industry.
I therefore welcome you to have a humble time in reading this work. There are new and
knowledge building findings in the work, a lot of inspirations.
Description
a research report submitted to college of economics and management in partial fulfillment of the requirements for the award of a bachelor’s degree in business administration of Kampala international university.
Keywords
mobile money, operators, air tel