Digital Financial Inclusion: The Perspective of Digital Financial Services Adoption Among Indigenous Entrepreneurs in Uganda

The utilization of digital financial services plays a significant role in promoting inclusive finance among entrepreneurs worldwide, particularly those belonging to marginalized communities such as indigenous entrepreneurs. By providing access to affordable financial services, indigenous entrepreneurs can improve their livelihoods efficiently and effectively, thus contributing to the economic growth of their communities. Our research aims to shed light on the impact of digital financial inclusion elements on indigenous entrepreneurs’ intention to adopt digital financial services. We surveyed 223 participants from Uganda using paper-based questionnaires and analyzed the data with IBM Amos 23. The results of our study indicate that digital financial retail agents and digital transaction platforms significantly influence indigenous entrepreneurs’ intent to adopt digital financial services. Additionally, we found indigenous entrepreneurs’ intentions to adopt digital financial services to have a significant impact on actual adoption. However, personal digital devices did not significantly impact their intentions to adopt digital financial services. Our research findings are valuable for financial institutions and governments, as they provide insights into the factors that influence digital financial inclusion among marginalized communities. Ultimately, our work contributes to the global initiative of “leaving no one behind” by promoting financial inclusion among indigenous entrepreneurs and contributing to existing literature.