EMPOWERING FINANCIAL INCLUSION: THE ROLE OF FINANCIAL LITERACY AND SELF-EFFICACY AMONG WORKING WOMEN

Abstract

This research aimed to shed light on the factors influencing financial inclusion among employed women in Uganda. The study had two main objectives: first, to examine the impact of financial literacy on the financial inclusion of working women, and second, to investigate the influence of self-efficacy on their finan cial inclusion. The theoretical framework was grounded in the empowerment theory and the social cognitive theory. Employing a correlational cross-sectional design, the study utilized a sample size of 384, determined through the Krejcie & Morgan table at a 5% level of significance, drawn from a population of 327,930 working women (aged 15 and above) across all five divisions of Kampala district in Uganda. Primary data were collected using a closed-ended structured questionnaire, and the relationships among study variables were examined through Pearson correlation analysis. Empirical validation of hypotheses was conducted using Multiple Regression Analysis. The findings indicated a significant positive impact of financial literacy (B=0.383, β= 0.365, p<0.01) and self-efficacy (B=0.091, β= 0.114, p<0.05) on financial inclusion among working women. Consequently, the study hypotheses were rejected. The study suggests that the government of Uganda should formulate deliberate policies aimed at enhancing the financial literacy of working women. This may involve approving training curricula that incorporate content on financial behavior, skills, and attitudes. Furthermore, supporting initiatives targeting working women to boost their self-belief in utilizing existing financial services, potentially through role models, is recommended.