Abstract:
Household saving is the source of investment and is considered as an important factor in
economic growth. The main objective of this study is to explore important determinants of
household saving behavior in Vellavely Divisional Secretariat Division of Batticaloa district.
Household saving behavior depend on demographic variable, financial literacy and self –
control. The data for this study collected through using the statistical techniques of univariate
analysis, cross tabulation techniques, correlation and regression analysis, chi –square test
and hypothesis test from 100 samples.
The results of the study showed that determinants, of household saving behavior in Vellavely
Divisional Secretariat Division of Batticaloa . As well as each of the variables of financial
literacy and self – control in high level and these two variables have strong positive
relationship with household. According to chi – square test found significant relationship
between demographic factors and household saving behavior. However, the study
recommends that the government can implement appropriate policies in order to increase
the income level of the people and to reduce their expenditures in such a manner household
saving can be encouraged.
