Digital Financial Literacy and Financial Inclusion Among Women Entrepreneurs in Madhya Pradesh: The Mediating Role of Digital Financial Service Adoption

Abstract

Digital technologies have transformed the way financial services are accessed and delivered, creating new opportunities for financial inclusion, particularly among women entrepreneurs. Despite significant progress in digital banking, mobile payments, and fintech services, many women entrepreneurs continue to face challenges related to digital literacy, accessibility, trust, and awareness, which limit their effective participation in the formal financial system. Understanding the factors that influence the adoption of digital financial services is therefore essential for promoting inclusive economic growth and entrepreneurial development. This study examines the relationship between digital financial literacy and financial inclusion among women entrepreneurs, with a particular focus on the mediating role of digital financial service adoption. The research investigates how factors such as digital financial literacy, awareness, accessibility, trust, perceived security, and government support influence the adoption of digital financial services and contribute to financial inclusion. A quantitative research approach is proposed using primary data collected from women entrepreneurs across selected districts of Madhya Pradesh. Statistical techniques such as Structural Equation Modeling (SEM) will be employed to analyze the relationships among the study variables. The study is expected to provide empirical evidence on the importance of digital financial literacy in enhancing financial inclusion and entrepreneurial empowerment. The findings will offer valuable insights for policymakers, financial institutions, and fintech service providers in designing targeted strategies to improve digital financial participation among women entrepreneurs. By identifying key drivers and barriers to digital financial service adoption, the study contributes to the growing body of knowledge on digital finance and supports the development of a more inclusive and sustainable financial ecosystem.