An Arab Country’s Digital Shift: A Case Study on Factors Influencing Mobile Banking Adoption in the Arab World

Abstract

This research investigates the factors influencing the adoption of mobile banking services in the Arab region, focusing mainly on a case study from Algeria. A conceptual model integrating the Technology Acceptance Model (TAM), Diffusion of Innovations (DOI), and Trust Theory is proposed to gain comprehensive insights. Empirical validation was conducted through a survey of 285 users of BaridiMob, a mobile banking application by Algeria Post, with data analysis conducted using structural equation modelling. The results revealed four pivotal factors—perceived usefulness, Ease of use, Trust, and attitude—essential in driving user intention to adopt mobile banking services. Notably, perceived usefulness exhibited the most substantial influence, indicating functional value’s critical role in technology acceptance within this context. Trust, also a major determinant, plays a vital role in shaping user attitudes and intentions, thus emphasizing the necessity for service providers to establish robust trust-building mechanisms. These findings offer theoretical and practical insights for fostering mobile banking adoption in the Arab region and emerging economies. While the study provides significant contributions, it is confined by its cross-sectional design and convenience sampling approach, limiting the generalizability of the results.