Women's Empowerment through Financial Literacy: An Empirical Study with Reference to Karnataka

Abstract

Financial literacy is the major component of measurement of women’s empowerment and as a crucial element in promoting inclusive economic development developing nations. Women’s access to financial services, involvement in financial decision making and access to formal financial services are plagued with problems in spite of various policy efforts to improve financial inclusion in India. Karnataka is a fast growing state in India, with a diverse socio-economic landscape where women's financial literacy and involvement vary widely across urban and rural areas via the SHG's. It is important to recognize the factors that enable women to become empowered through financial literacy to create effective policies and programs for sustainable development. This study aims to understand the impact of financial literacy about women empowerment in Karnataka and it focuses on the main causes of financial capability and economic independence of women. The study explores various factors including financial literacy, savings behavior, investment awareness, and digital financial literacy, and their impacts on women's economic and social empowerment. The approach of quantitative research design will be used with a structured questionnaire to be administered to the women in different districts of Karnataka. Descriptive statistics, reliability analysis, exploratory factor analysis, confirmatory factor analysis, correlation analysis and multiple regression analysis will be used in the analysis. The purpose of this study is to show that there is a significant financial literacy impact that can be seen in women's ability to make financial decisions, save more money, develop entrepreneurial skills, and be economically independent in general. The results will provide policymakers, schools, financial institutions and non-governmental organizations focused on women's financial empowerment with valuable insights. Further, this study adds to the literature by providing empirical evidence from Karnataka and suggesting a framework that connects the financial literacy dimensions with women empowerment. In short, this study contributes to the overall sustainable development agenda by advocating for gender equality, financial inclusion, and socioeconomic empowerment of women.