Effect of Cashless System on Financial Performance of Commercial Banks in Rwanda: A Case Study of Cogebanque

This study is about to establish the transition effect from cash based to cashless system on financial performance of commercial banks. A case study of bank of Cogebanque. Cashless system is described in economy whereby financial transactions are not conducted with money in the form of notes or coins. This concept has been discussed worldwide as the world is experiencing rapid use of digital exchanging of money especially in e- commerce, investment and daily life. On the other side cash based economy is a setting where retail and commercial payments are primarily made in cash. Cashless system is an indispensable system which makes life easy but at the end the most important thing is its impact on the overall development and transformation of the economy in general. The objective of this study is to assess the effect of cashless system on financial performance of commercial banks in Rwanda. Specific objectives are to determine the effect of mobile wallet on profitability of commercial banks, to assess the effect of plastic money on performance of commercial banks in Rwanda, to investigate the relationship between net banking and performance of commercial banks in Rwanda. The researcher will use descriptive research design of study based on qualitative and quantitative approach in order to get better analysis of the study. She will use both primary and secondary data collection with their relevant tools like questionnaire and documentary analysis in order to come up with required data. The target population will be 100 staff involved in decision making and customers. The researcher will use descriptive method of study based on qualitative and quantitative approach in order to get better analysis of the study. She will use stratified sampling technique and Pearson coefficient of correlation to measure the statistical relationship that exists between independent and dependent variable.