Factors Influencing University Students’ Saving Behaviour in Zimbabwe- A Case Study of Bindura University of Science Education Faculty of Commerce Students

Abstract

Prior research has been conducted on the saving behaviour of college students, but several researchers have examined the factors that influence personal saving dwelling much on financial literacy. There are many other factors that may be considered to affect the saving behaviour of students. The purpose of this study was to ascertain the factors which affect students’ saving behaviours at Bindura University of Science Education, Faculty of Commerce, focusing on the effects of peer groups, family dynamics and financial literacy. A questionnaire that was self-administered was used to gather primary data from 344 students from the Faculty. Multiple regression analysis and Pearson correlations were used to determine whether there is a relationship between the three factors and university students' saving habits. The results demonstrated that financial literacy was positively correlated with saving behaviour, while peer groups and family dynamics had weak positive correlation with saving behaviour. Financial literacy was the largest effect on saving behaviour between the two independent variables than peer groups and family dynamics. The study recommended that universities and families should introduce financial literacy awareness programmes and campaigns in order to inculcate a spirit of saving within the students.