Determinants of Financial Inclusion in Pakistan

This study explores how digital financial literacy, Fintech usage, social influence, and usability affect financial inclusion in Pakistan, where the digital finance landscape is rapidly changing but financial inclusion remains low. Using a structured questionnaire, we surveyed Fintech clients as part of a quantitative approach. We then analysed the results using statistical packages for descriptive statistics and Structural Equation Modelling (SEM). Our findings show that each of the four factors has a significant and positive impact on financial inclusion. Notably, Fintech use and usability have the most predictive potential, followed by social impact and digital financial literacy. The structural model indicates a 42.9% variation in financial inclusion, suggesting a moderate level of predictive accuracy. These results underscore the importance of integrating access to financial technology with opportunities to empower users through digital skills development, platform usability, and social network engagement. The study provides key recommendations for policymakers, Fintech developers, and financial service providers on how to promote financial inclusion through approachable, accessible, and socially acceptable solutions. Ultimately, our study shows that deliberate efforts to increase digital financial inclusion can lead to equitable growth and economic empowerment in Pakistan.