ISSN: 2222-6990
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The paper intents to establish the effect of financial technology and financial inclusion of Small and Medium Enterprises in Kabati market Kitui county, Kenya. Increase of financial access to individuals and other organizations has been due to successfully launched services of financial technology and financial institutions. Despite this development, access to formal financial services like Agency banking, M-Pesa services, online banking and Google play store services (Loan Apps) in small and Medium Enterprises in Kenya is still low. The paper is anchored on Pecking Order Theory (POT), Theory of Asymmetric Information, Technology Acceptance Model (TAM), Relationship Lending Theory (RLT), and Financial Intermediation Theory. The paper is informed by primary data obtained from Kabati market SMEs by Questionnaires. The study establishes that Financial technology have significant effect on financial inclusion of SMEs. The study recommended that the government should promote and support FinTech strategies such as Agency banking, M-pesa services, online banking and Money Lending Apps, since they facilitate the provision of financial services faster and in a more convenient and efficient manner, while still providing employment opportunities in areas that are underserved by traditional financial institutions as well as increased loyalty and profit for the FinTech companies hence leading to development of our country leading to the achievement of one of the four big agendas of vision 2030.
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In-Text Citation: (Agelyne & Musau, 2021)
To Cite this Article: Agelyne, M., & Musau, S. M. (2021). Financial Technology and Financial Inclusion of Small and Medium Enterprises in Kabati Market Kitui County, Kenya. International Journal of Academic Research in Business and Social Sciences, 11(4), 362-377.
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