Browsing by Author "Chindengwike, James D"

Now showing 1 - 6 of 6
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    Effect of psychological factor on the individual investor’s risk tolerance at listed service and manufacturing companies in Tanzania
    (Elsevier BV, 2021) Chindengwike, James D; Kira, Alex R; Mkupaya, Mwajuma
    one of the important factors in financial and investment decision is risk. The main objective of this study is to examine the effect of psychological factor on the individual investor’s risk tolerance at financial and manufacturing companies in Tanzania. The study was use Co-operative Rural Development Bank (CRDB) and Tanzania Cigarette Company (TCC) as study area of the research. The study used a sample of 80 respondents from the selected companies. In addition, the study used secondary data which were obtained from different literatures such as reports, published and unpublished papers and other related documents. Descriptive statistics, factor analysis, and linear regression were used to check both association and influence of psychological factors on individual investors’ risk tolerance. The findings show that overconfidence, loss aversion and mental accounting were positive and significantly related to the risk tolerance of individual investors. This study recommends that stakeholders should take into consideration key factors such as gender and income, loss aversion, mental accounting and overconfidence in investing in companies. The study further recommends that, the Government and Regulatory Authority should make use of the findings obtained from this study when formulating and implementing various policies related to investment decision.
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    The effect of tax rate on taxpayers' voluntary compliance in Tanzania
    (Horizon Research Publishing, 2022) Chindengwike, James D; Kira, Alex R
    Tax is an important financial payment made by a person or body of people in the bearing of the spending of public power. Taxes are significant for individuals and the nation at large. The purpose of this study was to find out the effect of the tax rate on taxpayers’ voluntary compliance in Tanzania. In addressing this objective, both qualitative and quantitative research approaches were used. A cross-sectional survey research design technique was used. The study employed document review, and survey in collecting both primary data and secondary data. Besides, systematic, unsystematic random sampling and purposive sampling were used as sampling procedures in this study. The study involved a sample size of 99 respondents who are SMEs’ taxpayers. The findings of the study showed that there is a negative effect of the tax rate on taxpayers’ voluntary compliance. Again, the study indicates that the presence of good tax rates improves taxpayers' voluntary compliance and the tax rates influence taxpayers' voluntary compliance. Lastly, there is statistical significance between tax rates and voluntary taxpayers’ compliance in Tanzania. The study recommends that the estimation calculation base should be reset in tax rate and the critical involvement or participation during formulating of tax laws and regulation is very important to improve corporate governance, especially between government and people. Consequently, tax rate and taxpayers’ voluntary compliance have a negative relationship. The contribution of this study is to examine the effects of the tax rate on voluntary tax compliance as an economic variable, but most of the studies already done on the effect of the tax rate on tax compliance are based on an institutional variable, the practical implication of the result indicated that the tax rate associated with tax is very high that affect the non-tax compliance, while the social implication of the study is that high tax rate causes the government to lose revenue and hence diminishes the efforts of providing social services to the citizens.
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    The impact of foreign debts on economic growth in Tanzania: evidence from 1988- 2020
    (International journal of creative research thoughts, 2021) Chindengwike, James D; Kira, Alex R
    The general objective of this research paper is to examine the impact of foreign debts on economic growth in Tanzania: Evidence from 2000 to 2019. A causal relationship research design was used in which time series data of 18 years were used to create data from variable. The research takes on the annual data from financial year 2000/01 to 2018/19. The sample size for the study was 18 observations. The data collected from different reliable sources which included the Ministry of Finance and Planning (MoFP), World Bank (WB) and the Bank of Tanzania (BOT). The analysis of the data obtained revealed that a total foreign debt stock has a positive impact on economic growth. Evidence to validate this comes from the computed P-Value (0.000) which is small at all levels of significance (5%). The long-term external debt stock does not have significant effect on economic growth. In difference, a short-term external debt appears to have significant impact on economic growth. However, the effect on the economy is minimal as evidenced by the dimension of coefficient. Usually, the research concludes that sustainability of the foreign debts was still below the required verge of sustainable foreign debts. Foreign debts have a positive impact on the economic growth while the long term impacts have insignificant impacts on economic growth. In contrast, the short term effect appears to have a positive significant impact. The Ministry of finance are suggested to take flexible loans, to assign on development projects and to make appropriate payment. And the CAG is should have full mandate to check up foreign debts and his or her suggestions must be followed by the Government.
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    The influence of CAMEL ratios on credit rating evaluation in Tanzanian commercial banks
    (Elsevier BV, 2021) Chindengwike, James D; Kira, Alex R; Mwambe, Andrew K
    The international credit rating evaluation systems are used by global agencies to grade their lenders which can be non financial or financial institutions. Also, international credit ratings are considerably platforms of evidence of private information possessed by banks. Credit rating evaluation to entities such as commercial banks, it is still under infant stage in Tanzania and other developing countries. This research paper examined the influence of CAMEL ratios on credit rating evaluation of Tanzanian Commercial Banks. The research opted time series research design in capturing the variables, quarterly data from 2009-2019 was estracted from banks’ financial reports. In evaluating the commercial banks’ credit rating, the study’s sample sizes were 40 observations from CRDB and NMB commercial banks. The results indicated that, the influence of CAMEL ratios on credit rating of Tanzania Commercial Banks are likely to undergo significantly from capital adequacy, management quality, earning capability and liquidity. The study additional findings showed that, Tanzanian regulatory system (locally) considerers less indicators in credit rating evaluation with inferior standards as compared to international standards. CRDB and NMB banks combine had satisfactory view rating scores that signified basically accuracy with modest amendable limitation (rating average of ‘2’), nevertheless NMB appeared to be better in ratings than CRDB in the period of 10-years examined quarterly (insert statistical P-Values). The study suggests that local systems ensure the establishment of credit rating evaluation guidelines to reflect international standards to effect the credit rating evaluation of local firms. In order to meet international rating standards for local commercial banks, the international credit rating standards are crucial to be adopted.
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    The influence of electronic tax administration system on taxpayers’ voluntary compliance in Tanzania
    (St. John's University of Tanzania, 2021) Chindengwike, James D; Kira, Alex R
    The objective of this study was to examine the influence of electronic tax administration system on taxpayers’ voluntary compliance in Tanzania. To attain this objective qualitative and quantitative research approaches were used whereby survey research design techniques of data compilation method were used. Both primary data and secondary data were involved in the form of interviews, document reviews and survey. Systematic and unsystematic random sampling and purposive sampling was used as sampling procedures in the study, this study involved with the sample size of 99 respondents from SMEs‘taxpayer in Dodoma Regions. The findings of the study showed that there is influence of electronic tax administration system on taxpayers’ voluntary compliance with P-value 0.002; Indicating the presence of the good electronic tax administration improve taxpayers' voluntary compliance while absence electronic tax administration system led to taxpayers’ poor voluntary tax compliance .The study recommended that the cost of electronic devices to be barred by tax authorities and the outsourced companies undertaking the devices’, repair and maintenance should offer affordable rates to SMEs taxpayers.
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    The relationship between tax transparency, trust and taxpayers’ voluntary compliance in Tanzania
    (2021) Chindengwike, James D; Kira, Alex R
    Tanzania applies a self-assessed taxing system that implies on taxpayers’ voluntary compliance. Taxpayers’ voluntary compliance is a difficult aspects issue and its exploration needs the use of a diversity of approaches and data sources. Increasing taxpayers’ voluntary compliance level is a significant objective of any government, aiming to reduce the tax collection costs. This article addresses the relationship between tax transparency, trust and taxpayers’ voluntary compliance in Tanzania. This study adopted a survey cross sectional research design with a population of 12,670 SMEs Taxpayers’. The sample size of the study comprises Ninety nine (99) SMEs taxpayers working in business industries. The finding of the study indicated the presence of a direct relationship between tax transparency and taxpayers’ voluntary compliance through trust with P- Value 0.007. Therefore in order to increase the taxpayers’ voluntary tax compliance; tax officers and taxpayers’ must increase the level of tax transparency. The study recommended that, tax authorities should invest in transparency strategies for both taxpayers and tax officials in order to improve voluntary tax compliance.