BRANCHLESS BANKING AND FINANCIAL INCLUSION OF COMMERCIAL BANKS IN NEPAL

Abstract

This study investigates the impact of branchless banking in the financial inclusion of commercial banks in Nepal. The purpose of this research is to evaluate the impact on financial inclusion via branchless banking in Nepal. For the obtainment of the goal appropriate framework have been created on the basis of previous research, literature review wherein territorial reach, assets safeguard, financial fluidity, expenditure and tech adaptation of branchless banking defines its success. The basic data used in this quantitative study was derived via survey in online format that used questionnaire and was distributed to branch of commercial banks present in the Bagmati province. These banks have used and operated branchless banking model through email. A total of 86 respondents were selected using the convenience non-probability sampling technique, of which 53 responses were obtained. Using a survey methodology and a quantitative approach, the researcher employed SPSS to do regression, correlation, and descriptive analysis. The data was gathered using Likert model-scoring questionnaires. Each of the variables territorial reach, assets safeguard, financial fluidity, expenditure and tech adaptation of branchless banking is an efficient variable according to the analysis's conclusion. The single factor that improves financial inclusion and has a noteworthy and favorable impact on it is geographical coverage. For the escalation of financial inclusion, branchless banking is a revolutionary concept. Additionally, financial education should be given to people by commercial banks, agents, and regulators in order to raise financial literacy, understand how agents operate, and guarantee money protection. Keywords: Branchless Banking, Financial Inclusion, Territorial Reach and Commercial Bank