EFFECT OF DIGITAL SAVINGS ON FINANCIAL INCLUSION OF WOMEN OWNED ENTERPRISES IN NAROK COUNTY

Abstract

Digital financial services (DFS) have rapidly transformed financial landscapes worldwide, yet their role in advancing financial inclusion for women-owned enterprises remains insufficiently explored. In regions such as Narok County, where women face unique economic challenges, understanding how DFS can empower marginalized entrepreneurs is critical for sustainable growth and social equity. This study investigated the impact of digital savings on financial inclusion of women entrepreneurs. The research employed a cross-sectional research design targeting 392 women-owned enterprises in Narok County. Stratified sampling was first used to group similar enterprises then simple random sampling was used to select a sample of 194 respondents. Data was collected via structured questionnaires and analyzed using both descriptive and inferential statistical methods. Reliability was confirmed through Cronbach’s alpha, and the regression model was validated using a series of diagnostic tests. Data was analyzed by the aid of Statistical Package for Social Sciences (SPSS) version 26, where inferential statistics were computed to assess the relationship between the variables. Result showed that, digital savings affected the financial inclusion of women entrepreneurs in Narok County to a great extent. The results revealed that digital savings also had statistically significant effect on financial inclusion with (R=.643; R2=.413; F = 114.625; β =.447; t = 5.425; p < 0.05) contribution. The study concluded that, the predictor variable significantly affected the level of financial inclusion among women owned enterprises. The findings are expected to provide a framework for policy makers on designing an effective DFS to reduce financial disparities and stimulate economic empowerment among women entrepreneurs.