Household savings is an important factor for the economic growth of the country. This study identified and examined different determinants of saving behavior of rural households and analyzed the pattern and distribution of savings related factors like the mode of saving, amount preferred for saving, attitude preferred for saving, type of saving, expectation for the future savings in Boricha Woreda of Sidama Zone, Southern Ethiopia. The data of 204 sample households was collected from rural households by using structured questionnaires, focus group discussion and key informant interview. For this study, Multiple Regression Model was employed to find out the determinants of saving behavior of households in the study area. The results ultimately revealed that age of household head, education, training, membership to cooperatives, farm and off-farm income, farm size, and livestock were significant and influencing positively rural households’ savings. Whereas saving behavior of rural households negatively influenced by expenditure, family size, and distance to savings associations. These factors therefore have to be considered in designing strategies aimed at improving the saving mobilization of rural households.
