Financial Literacy and Digital Financial Service Adoption among Self-Help Group Members: An Empirical Study of Dakshina Kannada District

Abstract

Financial literacy is an important building block in financial inclusion and the use of digital financial services by members of Self-Help Groups (SHG). In this study, financial literacy and the uptake of digital financial services among the members of SHG in Dakshina Kannada district, Karnataka are examined. This research will utilize descriptive and analytical research method with the application of primary data and secondary data. Proposed Primary Data Collection method – use of structured questionnaire from 200 SHG Members. The analysis of financial literacy levels, the use of digital services and the barriers to these services, as well as the relationship between financial literacy and adoption was suggested using percentage analysis, descriptive statistics and chi-square test of significant differences. The research will be used to identify the gaps in financial literacy and provide recommendations to addressing the issues of financial inclusion, security of transactions, and financial decision making among the members of SHGs.