School of Business

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Browsing School of Business by Subject "Financial Inclusion"

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    The impact of fintech on financial inclusion in Mukono District, Uganda
    (Uganda Christian University, 2026-04-16) Phillip Pavel Oketayot
    This paper sought to investigate the effect of Financial Technology (Fintech) on financial inclusion in Mukono District, Uganda. Even though there have been tremendous improvements in the provision of financial services through mobile money in Uganda, the rural dwellers are still faced with several challenges that impede their access to formal financial services, such as lack of knowledge about technology, insufficient infrastructure, and socio-cultural issues. This study employed a quantitative research design where correlation and cross-sections were used. The participants for this study comprised 200 people who resided in rural areas and users of Fintech in Mukono District. It was found that 62% of the participants were highly adopted in fintechs using mobile money services like MTN Mobile Money (88.5%) and Airtel Money (66.5%). The findings from multiple linear regression analyses indicated that the three variables combined significantly predicted 61.8% of the variability in financial inclusion (F(3,196) = 132.76, R2 = 0.618, p < 0.001). Fintech adoption was the most significant predictor of financial inclusion (β = 0.452, p < 0.001), and socio-economic factors played a partial mediating role in this relationship (indirect effect = 0.27, SE = 0.04, p < 0.01 Tertiary education, household income per month, and gender emerged as major socio-economic factors influencing the adoption of fintech and financial inclusion. Through cross-tabulation, it was discovered that individuals who had received tertiary education were nearly two times more likely to use fintech than those who had only primary education or lower (χ2 = 38.24, p < 0.001). There remained a gender gap, where women were less likely to access digital financial services because of cultural barriers, lack of mobile phones, and financial freedom. Conclusion: This research study reveals that there is an enormous transformational power for fintech to boost financial inclusion in rural Uganda. However, such transformation can only be achieved by overcoming socio-economic and technological obstacles that are prevalent among women, poor people, and individuals with little formal education. This study suggests several recommendations to address the challenges mentioned above.