ATM Systems Innovations and Performance of Deposit Taking SACCOs in Kenya

Authors

  • Delfina Kaaniru Kithinji Dedan Kimathi University of Technology, Kenya
  • David Muchunu Magu Dedan Kimathi University of Technology, Kenya
  • Allan Muchemi Kuria Dedan Kimathi University of Technology, Kenya

Abstract

The Savings and Credit Cooperatives in Kenya have increasingly adopted ATM payment systems innovations. However, their performance has drawn interest due to decline in performance. Since 2015, SACCOs’ returns fell below two percent of assets for the first time in 2021. The purpose of this study was to examine the influence of ATM systems innovations on performance of Deposit Taking SACCOs in Kenya. The study was guided by the Task Technology-Fit Theory. A cross-sectional survey design was adopted. The target population was 176 Deposit Taking SACCOs, from which a sample of 122 was selected. This resulted in 488 respondents comprising 1 business development manager, 1 finance/accounts/credit manager, 1 IT manager and 1 operations manager. A structured questionnaire was administered to collect data. Collected data was cleaned, coded and analyzed using SPSS version 26.0 using descriptive and inferential techniques. The descriptive results demonstrated varying perceptions by the respondents regarding the influence of ATM deposit, withdrawal and account enquiry services on the performance of DTSs. However, simple linear regression analysis demonstrated that ATM system innovations had a significant and positive influence on the performance of DTSs (B = 0.468, β = 0.699, p < 0.001). The findings support the TTF proposition that performance does not depend solely on the adoption of a technology but also on the extent to which the technology matches the demands of the task under hand. The study recommends that policymakers and regulators should promote shared ATM infrastructure and interoperability frameworks within the SACCO sector.

Keywords: ATM Systems Innovations, Deposit Taking SACCOs, ATM Deposits, ATM Withdrawals, ATM Account Enquiries, Performance

Author Biographies

  • Delfina Kaaniru Kithinji, Dedan Kimathi University of Technology, Kenya

    PhD in Business Administration and Management Candidate, Dedan Kimathi University of Technology, Kenya

  • David Muchunu Magu , Dedan Kimathi University of Technology, Kenya

    School of Business Management and Economics, Dedan Kimathi University of Technology, Kenya.

  • Allan Muchemi Kuria, Dedan Kimathi University of Technology, Kenya

    School of Business Management and Economics, Dedan Kimathi University of Technology, Kenya.

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Published

2026-09-17

Issue

Vol. 3 No. 5 (2026)

Section

Articles

How to Cite

Kithinji, D. K. ., Magu, D. M. ., & Kuria, A. M. (2026). ATM Systems Innovations and Performance of Deposit Taking SACCOs in Kenya. JBMI Insight, 3(5), 98-111. https://jbmipublisher.org/system/index.php/home/article/view/170