Fintech use, digital divide and financial inclusion
Digital Policy, Regulation and Governance
ISSN: 2398-5038
Article publication date: 30 September 2022
Issue publication date: 9 November 2022
Abstract
Purpose
Financial Technology (FinTech) innovations enable the provision of financial services to many unbanked across the world by increasing access. The key role of FinTech to drive financial inclusion however suffers significant impediments including the digital divide. Nevertheless, there is paucity of elaborate theories on financial inclusion while extant literature on FinTech only identify factors that drive its acceptance and use with little attention to inhibitors such as the digital divide. This study aims to investigate the impact of FinTech usage on financial inclusion amid the digital divide.
Design/methodology/approach
This study uses the unified theory of acceptance and use of technology (UTAUT2) and the model of digital inequality. A structural equation modeling technique is applied to data collected from 282 respondents in an online survey.
Findings
The findings confirm a positive influence of FinTech use on financial inclusion as well as the influence of performance expectancy and facilitating conditions on behavioral intentions. The results also show that digital divide measured with access, resource and force moderate the use of FinTech.
Originality/value
This study presents a theoretical model which is unique given that UTAUT2 was combined with digital divide moderators from the model of digital inequality to explain how FinTech usage impacts on financial inclusion. Addressing the research questions has led several theoretical contributions including the extension of the applicability of UTAUT2.
Keywords
Citation
Odei-Appiah, S., Wiredu, G. and Adjei, J.K. (2022), "Fintech use, digital divide and financial inclusion", Digital Policy, Regulation and Governance, Vol. 24 No. 5, pp. 435-448. https://doi.org/10.1108/DPRG-09-2021-0111
Publisher
:Emerald Publishing Limited
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