Study of the Impact of Digital Financial Services on Cooperative Savings Mobilisation in Abuja, FCT

The integration of digital financial services including mobile banking, USSD platforms, and fintech applications into cooperative savings management has the potential to expand membership reach and improve savings mobilisation in urban cooperative societies. This study examined the impact of digital financial services adoption on savings mobilisation in cooperative societies in Abuja, Federal Capital Territory. A cross-sectional descriptive survey was conducted among 185 cooperative members and managers from fourteen societies in Abuja Municipal and Kuje Area Councils. A structured questionnaire assessed digital service adoption rates, changes in savings behaviour post-adoption, member digital literacy levels, and barriers to digital use. Descriptive statistics and independent samples t-tests were used for analysis. Results showed that 57.3 percent of cooperatives had adopted at least one digital payment or savings platform. Cooperatives using digital platforms recorded mean monthly savings contributions 38.4 percent higher than those relying on manual cash collection. Digital adoption was positively associated with younger member profiles and higher education levels. Key adoption barriers included limited smartphone ownership among older members (cited by 47.6 percent), poor internet connectivity in peri-urban areas, and distrust of digital financial systems among low-income members. The study concludes that digital financial services improve savings mobilisation but risk excluding less digitally literate members. Recommendations include blended digital-analogue systems that accommodate all member demographics.

Keywords: digital financial services, savings mobilisation, cooperative societies, Abuja, FCT