The moderating role of digital literacy in electronic levy, digital financial services and financial inclusion nexus

Abstract

Purpose This study aims to investigate the moderating role of digital literacy (DL) in the relationship between electronic levy (E-levy), digital financial services (DFS) and financial inclusion (FI) in Ghana. Design/methodology/approach To achieve the research objectives, structured questionnaire responses from 23 banks and two telecommunication companies were analyzed using smart partial least squares (PLS-SEM). Findings This study found that DFS promote FI, implying that they have a direct impact on FI. DL also moderates the relationship between DFS and FI, so amplifying the benefits of FI. Practical implications Policymakers and stakeholders must prioritize DL programs, while telecom providers should design user-friendly DFS platforms that are accessible to low-literacy groups. Originality/value This paper’s modest contribution resides in identifying DL as a moderating element in the DFS-FI nexus. To advance FI, this study focuses on the complex ways that individual skills may affect the adoption and efficient use of DFS. It emphasizes the importance of interventions that bridge DL gaps to promote fair access to DFS for accelerated economic development.