Assessing the Role of Fintech on Banking Performance and Financial Engagement in Pakistan: A Case Study of Multan

This study examines the impact of Fintech on banking performance and Financial Engagements, focusing on the Multan district of Punjab, Pakistan. Using primary data from 512 respondents, this research employs graphical analysis, correlations, and multiple regression analysis to evaluate the relationship between Fintech adoption, banking performance, and Financial Engagements. The results conclude that Fintech adoption improves banking performance by reducing transaction costs and improving financial efficiency. Digital literacy boosts savings and investment behavior, but age and income disparities hinder adoption. Targeted policies for financial inclusion and cybersecurity concerns can boost Fintech adoption. The Life-Cycle Hypothesis suggests that as individuals age, they transition from borrowing to saving and investing, while higher education levels improve banking performance experiences. Factors like service quality, financial policies, and customer support also play a role. Trust in Fintech does guarantee efficiency; younger, educated individuals adapt better to Fintech. Fintech services target both high and low-income groups. Fintech should focus on investment and savings tools for older individuals and financial literacy programs to benefit all income and education groups.