Mobile Money Transfer Charges’ Effects on Adult Learning Entrepreneurial Agents’ Commission in Tanzania: A post-Government Tax Levy Imposition Era

Abstract

This paper reports the findings of a study that was conducted to determine the effects of charges imposed in Mobile Money Transfer (MMT) on Adult Learning Entrepreneurial Agents (AEA)’s commission after government tax levy introduced in Tanzania. This action research used questionnaires and interviews to collect primary data, which has been complemented by secondary data. It applied purposive sampling to select 350 AEA participants from Dar es Salaam region. Moreover, the study employed a mixed methods research approach to ensure the validity and reliability of the results and improve specific practices. The MMT charges and AEA’s commissions were analysed using Spearman correlation, t-test, and descriptive statistics. The Statistical Package for Social Sciences (SPSS) version 20 facilitated the analysis of quantitative data. Qualitative data (perceptions/feelings on the effects) on the other hand ware subjected to content analysis. The study found that there is a statistically significant negative correlation at (r = -.124, p < .05) between MMT charges imposed by government tax levy and AEA’s commissions. The findings further indicate that 63.7 percent of the respondents noticed a decrease in AEA agents’ commissions after the government imposed a tax levy on MMT charges. The findings also indicated that there is a significant difference between the AEA’s commission before and the post-government tax levy charges imposed on MMT in Tanzania at (t=13.04, df=349, p<.05). Based on the study findings, to improve the AEAs’ practices it is recommended that the stakeholders in MMT need an agent special forum for discussion within the industry. The AEA must also restructure their work practices to integrate unexpected changes in agency activity. Furthermore, the agents need to rethink the concurrent or diversified kinds of business to accommodate the effects of charges introduced in MMT.