World Review of Business Research Vol. 3. No. 3. July 2013 Issue. Pp. 96 – 114 Factors Influencing the Usage of Mobile Banking: Incident from a Developing Country Mohammad Rokibul Kabir* The study has been conducted to investigate the factors that influence the users of banking services to use mobile banking in Bangladesh. A self-administrated questionnaire had been developed and distributed among the clients of two full fledged mobile banking service providers of Bangladesh called Brac Bank Limited and Dutch Bangla Bank Limited. Out of the 100 questionnaires, only 64 useable questionnaires were returned, yielding a response rate of 64 percent. Results were subsequently analyzed by using multiple regressions. The influencing factors are analyzed under the four major factors Perceived Risk, Trust, Convenience, Relative Advantage under which several other factors have been explored. Factors such as performance risk, security/privacy risk, time risk, social risk and financial risk are found to be negatively related with the usages of Mobile Banking as perceived risk make the users confused about their security in using mobile banking while factors like ability, integrity, benevolence, perceived usefulness, perceived ease of use relative cost and time advantages are positively related with the intention to use mobile banking services. However, social security is the only factor found insignificant. Keywords: Mobile Banking, Perceived Risk, Trust, Convenience, Relative Advantage. 1. Introduction Mobile phones have become a tool for everyday use, which creates an opportunity for the evolution of banking services to reach the previously unbanked population through mobile banking. The use of mobile banking can make basic financial services more accessible to low-income people, minimizing time and distance to the nearest retail bank branches (CGAP 2006). The outstanding growth of mobile sector worldwide has created a unique opportunity to provide social and financial services over the mobile network. With over 4 billion mobile cellular subscriptions worldwide, mobile network has the ability to immediately offer mobile banking to 61% of the world population (Sultana 2009). But still the usage of mobile banking is a debatable issue among the educated persons and professional body because of the risk involved in such transactions. Though many of such people argue that internet and other technology based transaction is not safe, not practical and would lead to fraud, a lot of people think it safer, flexible in time and can be done anywhere and anytime (Chowdhury and Ahmmad 2011). Cost and availability are the other factors which might influence the ________________________________________________ *Assistant Professor, Department of Business Administration, International Islamic University Chittagong. Cell:8801191555211, email: rakibais@yahoo.com