Financial Knowledge and Access as Catalysts in the Link between Fintech Adoption and Financial Well-Being of MSMEs

This research investigates how financial technology (fintech) adoption can improve financial well-being through the mediating effects of financial knowledge and financial access. A quantitative method was employed by distributing questionnaires to 200 Micro, Small, and Medium Enterprises (MSMEs) owners and managers in Batam, Indonesia. The results show that fintech adoption significantly improves financial well-being, financial knowledge, and financial access. This suggests that the use of fintech tools enables MSMEs to better manage their finances, access a wider range of financial services, and gain knowledge that enhances their financial decision-making. However, financial knowledge and financial access do not have a significant effect on financial well-being. Furthermore, these two variables do not mediate the relationship between fintech adoption and financial well-being.