Do Social and economic empowerment attain through mobile banking? An empirical assessment

¹ Amity Business School, Amity University, Gwalior, Madhya Pradesh.
² Symbiosis Institute of Business Management, Pune. Symbiosis International (Deemed University), Pune. India.
³ Manipal University, Jaipur, Rajasthan.

^* Corresponding author: pjain@gwa.amity.edu

Abstract

Financial inclusion has proven to be the most effective tool for overcoming poverty and enhancing underprivileged individuals' social and economic status. However, the role of mobile banking in achieving financial inclusion remains unclear. Therefore, this research investigates the relationship between mobile banking adoption and financial inclusion. Data from two hundred twenty-three respondents was collected through online surveys conducted in countries such as India, Pakistan, Bangladesh, Nepal, Bhutan, and China. A confirmatory factor analysis was utilized to assess the validity of the data gathered from respondents. Structural equation modeling was employed to test the hypothesis and analyze the structural relationships. The results indicated that mobile banking adoption positively influences financial inclusion, contributing to social and economic empowerment. However, this analysis focuses solely on the role of mobile banking in the social and economic empowerment of individuals. Future studies may consider additional variables related to financial inclusion. The findings of this study are beneficial for banking institutions to understand the factors influencing customer adoption behavior towards mobile banking in South Asian countries. Additionally, the results are valuable for policymakers and managers in implementing effective strategies to attract non-users and potential mobile banking customers, thereby enhancing the impact of digital financial inclusion on society. This analysis is original and offers novelty in mediating the role of financial inclusion in social and economic empowerment through mobile banking adoption.