BARRIERS TO FINTECH ADOPTION AND THEIR IMPLICATIONS FOR FINANCIAL INCLUSION IN BAYELSA STATE

Abstract

This study examined the barriers to FinTech adoption and their implications for financial inclusion in Bayelsa State, Nigeria. The objectives were to assess the level of awareness and adoption of FinTech services, identify the key barriers to adoption, and examine the relationship between these barriers and financial inclusion outcomes in the study area. A descriptive survey research design was adopted, and primary data were collected through structured questionnaires administered to 582 respondents drawn from different socio-economic groups in Bayelsa State. Data were analyzed using descriptive statistics such as frequency, percentages, and mean scores. Findings revealed that awareness of FinTech services among respondents is relatively high; however, actual adoption remains moderate. Major barriers identified include poor internet connectivity, irregular electricity supply, low digital literacy, lack of trust in digital platforms, fear of fraud and cybercrime, and high transaction costs. The study further found that FinTech services have positively influenced financial inclusion by improving access to financial services, enhancing money transfer efficiency, and promoting savings and financial participation. However, access to credit through digital platforms remains limited. The study concluded that while FinTech has significant potential to enhance financial inclusion in Bayelsa State, its impact is constrained by infrastructural, socio-economic, and security-related challenges. It was recommended that government and relevant stakeholders improve digital infrastructure, enhance financial literacy, strengthen cybersecurity systems, and promote awareness campaigns to encourage wider adoption of FinTech services.