AI-induced privacy concerns: examining the moderating effect of AI fear on customer data sharing

Financial literacy is one of the key abilities and skills MSME business actors require to manage their finances and achieve successful business performance. This study's purpose was to analyze the impact of financial and technological literacy on improving MSME performance in Medan City and the mediation of this relationship by financial inclusion. The research had a quantitative descriptive methodology with an explanatory research approach. Data were collected from a sample of 100 business actors in Medan City. The data analysis technique used was Structural Equation Modelling - Partial Least Squares (SEM-PLS). The results showed that financial literacy, financial technology, and financial inclusion affected the performance of MSMEs in Medan City, and financial inclusion did not mediate the effects of financial literacy and financial technology on the performance of MSMEs in Medan City. The novelty of this research is its capacity to inform stakeholders of the importance of the financial literacy of MSME business actors; therefore, stakeholders must strive to educate MSME business actors on the importance of financial literacy.

PurposeThis study aims to investigate the impact of FinTech on money laundering within the context of Nigeria. The motivation stems from observations suggesting that FinTech platforms might be used for illicit money transfers, particularly from developed to developing economies. While existing literature predominantly highlights the positive aspects of FinTech, there's a dearth of studies addressing its potential association with money laundering. Current understanding of this relationship relies heavily on anecdotal evidence derived from reported or convicted cases. Thus, the primary goal of this study is to analyze the influence of FinTech on money laundering while also considering the moderating effects of financial regulation and financial literacy as perceived by users. The research delves into regulatory perspectives concerning money laundering and FinTech.Design/methodology/approachTo fulfill the study's objectives, a quantitative research design is used. A survey of 248 FinTech users in Nigeria is conducted using structured questionnaires. Data collected from the questionnaires is analyzed using partial least square structural equation modeling (PLS-SEM).FindingsThe quantitative analysis revealed a significant relationship between FinTech and money laundering and that financial regulation moderates the relationship between FinTech and money laundering in Nigeria, but such was not established with respect to financial literacy. The results of the quantitative approach that uses secondary data are consistent with the qualitative approach. FinTech the results indicate the presence of technology induced money laundering in Nigeria. Regulating technology-based anti-money laundering poses serious challenges for developing countries due to the absence of specific laws that mitigate the threats.Research limitations/implicationsThe paper focuses on Nigeria as a case study, which may limit the generalizability of the findings to other countries with different FinTech ecosystems, regulatory frameworks and financial literacy levels.Practical implicationsThe finding is useful in developing guidelines and regulations by policymakers and strategies by practitioners in relation to FinTech, money laundering, financial regulation and financial literacy. On the basis of the above, the authors recommend regulation at the national and industry level to mitigate the adverse effect of technology on money laundering. Thus, multilateral partnerships can help in tackling tech-induced money laundering through strengthened cooperation.Social implicationsMoney laundering risks: The study highlights that FinTech, while beneficial, also poses significant risks for money laundering activities, especially in developing countries like Nigeria. Regulatory Importance: It emphasizes the critical role of financial regulations in mitigating the risks associated with FinTech and money laundering. Financial Literacy: The paper suggests that financial literacy does not significantly moderate the relationship between FinTech and money laundering, indicating the need for stronger regulatory measures rather than relying solely on financial literacy. Policy Formulation: The findings are crucial for policymakers to formulate strategies that balance the benefits of FinTech with the need to prevent money laundering and ensure financial system integrity.Originality/valueThis research presents a novel approach to methodology, specifically focusing on the qualitative research design, addressing population, sampling techniques and data collection methods. It emphasizes techniques aimed at ensuring measurement quality and achieving research objectives. Data collection used survey questionnaires, while analysis involved both statistical package for social science (SPSS) and PLS-SEM. SPSS facilitated descriptive and preliminary analyses, while PLS-SEM confirmed measurement quality and tested hypotheses. Ethical considerations were paramount throughout the research process, underscoring the commitment to maintaining originality in research endeavors.

Purpose: The aim of the research is to investigate the impact of financial literacy and its dimensions on the women entrepreneurial success. The focus of the study is on the women entrepreneurs of Pakistan and examines the relationship between the dimensions of financial literacy like financial management, saving, debt, insurance and investment literacy and the performance of the women run enterprise. The inclusion and participation of the women is a key indicator for the progress and development of a country.
 Design/Methodology/Approach: The study employs a quantitative approach where survey questionnaires were the primary research method employed to collect the data. Data was collected from 284 women entrepreneurs form the major metropolitan cities in Pakistan. These women were selected using purposive sampling and the data was then analysed using the partial least square structural equation modeling (PLS-SEM) technique.
 Findings: The finding of the study suggests that the overall financial literacy level of women entrepreneurs is impacting the success and growth of their ventures. Moreover, all the dimensions of the financial literacy were positively and significantly related to the success.
 Implications/Originality/Value: This research advances the argument that the financial literacy is a contributing factor in the entrepreneurial success of the business.

Artificial Intelligence (AI) integration in emerging economies like Pakistan presents a transformative opportunity to advance financial inclusion. This study investigates the influence of AI on financial inclusion through key mediating variables—financial literacy, user adoption, financial behavior practices, government support, and AI-based risk mitigation—using a quantitative methodology. Data from 250 financial service users were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings indicate that financial literacy (β = 0.558, p < 0.001) and user adoption (β = 0.368, p < 0.001) significantly mediate the relationship between AI and financial inclusion, with financial literacy showing the strongest effect. In contrast, financial behavior practices (p = 0.250), government support (p = 0.268), and risk mitigation (p = 0.111) were found to have no significant mediating influence. Theoretically, the study extends existing literature by integrating the Technology Acceptance Model (TAM), Financial Inclusion Theory, Diffusion of Innovation Theory, and Social Cognitive Theory, offering a multidimensional understanding of how AI adoption interacts with user behavior and systemic access. It challenges conventional assumptions about the sufficiency of institutional support, emphasizing instead the centrality of financial literacy and user readiness in AI-driven inclusion. Methodologically, the study demonstrates the value of PLS-SEM in validating complex structural models with multiple latent constructs in emerging market contexts. The results offer valuable insights for researchers and policymakers aiming to design AI-enabled strategies that improve financial literacy, boost user adoption, and foster inclusive financial ecosystems. Keywords: Artificial Intelligence, Financial Inclusion, Financial Literacy, User adoption, AI-Based Risk Mitigation, Financial Behavior Practices, Government Support.

This research investigates the relationship between financial literacy, financial technology, financial behavior, and financial inclusion development in Jordanian MSMEs. Specifically, it seeks to examine whether financial behavior mediates the influence of financial literacy and financial technology on financial inclusion development. This study employs a partial least square structural equation modeling (PLS-SEM) approach to investigate the relationship between financial literacy, financial technology (FinTech), financial behavior, and financial inclusion development in Jordanian micro, small, and medium enterprises (MSMEs). Based on a sample of 334 MSMEs in Jordan, the study found that financial literacy and FinTech have a significant impact on financial inclusion development in MSMEs. Additionally, financial behavior was found to mediate the relationship between financial literacy and FinTech on financial inclusion development. The findings of this study suggest that financial literacy and FinTech can be useful tools in promoting financial inclusion in MSMEs, and that financial behavior plays a crucial role in realizing their full potential. The study provides insights into the factors that influence financial inclusion in MSMEs and has implications for policymakers, financial institutions, and MSMEs in Jordan and other emerging economies. The use of PLS-SEM in this study provides a robust statistical approach for analyzing the complex relationships between the variables of interest. The scientific novelty of this study lies in its focus on the mediating effect of financial behavior on the relationship between financial literacy, financial technology, and financial inclusion development in Jordanian MSMEs. Keywords: financial behaviour, financial inclusion development, financial literacy, FinTech, partial least square structural equation modeling. https://doi.org/10.55463/issn.1674-2974.50.3.10

Background: Many business actors are turning financial service technology, namely financial technology or what is known as fintech, into an innovation to survive in their business. One of the Sharia fintech products is a Sharia peer-to-peer lending service that brings together lenders and borrowers. The presence of peer-to-peer lending will make it easier for people to provide loans or apply for loan funds for various purposes without using the services of financial institutions as intermediaries. Objectives: This research aims to determine whether financial literacy, digital literacy, Perceived Usefulness, Perceived Ease of Use, and subjective norms influence a person's interest in using Sharia peer-to-peer lending. Novelty: This research has differences in case studies, namely: it focuses more on fintech products, namely Sharia peer-to-peer lending. Then include the digital literacy variable because there is not much research that focuses on the influence of digital literacy on interest in using sharia peer-to-peer lending. Research Methodology / Design: This research uses a quantitative approach, with primary data from 180 respondents which is then processed using a partial-least square structural equation modeling (PLS-SEM) approach with the help of the Smart-PLS 4 analysis tool. Findings: The results of this research show that financial literacy and digital literacy do not significantly influence interest in using sharia peer-to-peer lending in Indonesia. Meanwhile, Perceived Usefulness, Perceived Ease of Use, and subjective norms significantly influence interest in using sharia peer-to-peer lending in Indonesia. Implication: It is highly recommended that related companies continue to socialize the security and legality of the new Sharia Peer Peer Lending application to educate the Indonesian people about financial and digital literacy.

The complex nature of formal financial products and services and the frequently associated innovations occasioned by disruptive technologies inform researchers’ calls for studies on financial literacy, particularly in African rural communities. As a response to the calls, this study explores how financial literacy relates to performance, access to credit facilities, and payment preferences among smallholder rural farmers in Nigeria. Further, the rural farmers’ financial literacy level on each of the four dimensions of the Standard and Poor Global Financial Literacy criteria was assessed. A random sample was drawn from the registered rural farmers in the Central Bank of Nigeria’s Anchored Borrower’s Program for the 2022 farming year. Quantitative data were collected from rural farmers using the Standard and Poor Global Financial Literacy questionnaire. The proposed hypotheses were tested with partial least squares structural equation modeling (PLS-SEM), while descriptive statistics were used to analyze the data. The outcomes show that financial literacy significantly predicts performance, access to credit facilities, and mode of payment preferences among smallholder rural farmers. Also, the analyses of the four dimensions of financial literacy show that the farmers are more literate in risk diversification and inflation than numeracy and compound interest. It is concluded that financial literacy is cardinal to profitable investments in rural farming, and as such, there is a need for the Nigerian government and financial authorities to embark on financial literacy drive with more emphasis on numeracy and compound interest where the rural farmers are more deficient.

The World Bank, in 2016 defined women’s empowerment as a principle for sustainable development and for the fulfilment of the Millennium Development Goals (MDG). Economic empowerment has been identified as a main section of women’s empowerment in literature. Economic empowerment directly influences the improvement of women’s decision-making power and their financial well-being. Previous researchers have explored many antecedents of women’s economic empowerment; among them financial literacy is the most significant determinant in literature. Financial literacy defines as a combination of financial knowledge, financial skills and financial attitudes. Further many researchers argue that financial literacy has greater importance for increasing economic empowerment among women. However, the most important argument is whether financial literacy is a significant determinant of women’s economic empowerment in Sri Lankan context. Therefore, the present study mainly focuses on exploring the impact of financial literacy among rural poor on their economic empowerment in the context of Sri Lanka. The sample for this study was drawn from under privileged families who are living under the poverty line in 09 provinces in the country. Altogether 426 questionnaires were distributed and 386 completed questionnaires were taken for final analysis. There were 24 items employed to represents 5 main dimensions to measure the women’s economic empowerment (i.e.: 1. Decision-making power, 2. Control over the use of income and expenditure, 3. Leadership in the community, 4. Control over time allocation and 5. Financial wellbeing). And financial literacy was tested based on 25 items which was employed to determine the 04 key factors (i.e.: 1. Financial awareness, 2. Financial knowledge, 3. Financial skills, 4. Financial attitude and 5. Financial behavior). The reliability was measured by Cronbach’s Alpha coefficients. Data were collected with the assistance of a researcher administrated questionnaire. The sample was selected based on the multilevel mixed sampling method and the unit of analysis was the women headed households in rural areas representing 25 Districts represented each province of the country. Furthermore, a partial least squares structural equation model (PLS-SEM) was employed as the principle data analysis approach, and Smart PLS 3 was employed as the main analytical software. However, descriptive analysis was done by using SPSS 22. The findings revealed that, the financial literacy has significant impact on women’s economic empowerment among the rural poor. However, when it was considered under separate dimensions, financial wellbeing and control over time allocation have significant impact on financial literacy among rural women. Further it was noted that all the hypotheses were accepted after the analysis. Therefore, researcher concluded that financial literacy can be considered as a significant determinant of women economic empowerment in Sri Lankan context as well. Finally, the researcher provides some suggestions for government policy decision makers to develop financial literacy level for enhancing women’s economic empowerment in Sri Lanka.

This study examines the relationship between the financial socialization agents, attitude toward money, and financial literacy with the mediating role of financial self-efficacy and the moderating role of mindfulness. The self-administered questionnaire was used for data collection from higher education institutions using the convenience sampling method because the sampling frame was not available. The data were tested using partial least square structural equation modeling (PLS-SEM) in smart PLS. The results indicated a positive relationship between financial self-efficacy, financial socialization agents, attitude toward money, mindfulness, and financial literacy. The finding of mediation analysis suggests the significant mediation effect of financial self-efficacy between attitude toward money and financial social agents with financial literacy. The mediation of financial self-efficacy between attitude toward money and financial literacy has the greatest impact which indicates that students with positive attitude and self-efficacy create high financial literacy. Whereas mindfulness positively moderates the relation of attitude toward money and financial literacy and negatively moderates the relation of financial self-efficacy and financial literacy while mindfulness does not moderate the relation of financial socialization agents and financial literacy. The findings of this research are of use to different stakeholders who are users or regulators of financial institutions because enhancing financial literacy has become a priority.

This research uses a quantitative approach and Partial Least Square- Structural Equation Modeling (PLS-SEM) to test the relationship between the variables Financial Literacy (X1), Investment Experience (X2), Overconfidence (X3), Risk Tolerance (Z), and Investment Decisions ( Y) for National University Master of Management study program students. The results of descriptive statistical analysis reveal that Financial Literacy, Investment Experience, and Overconfidence have a positive and significant effect on Risk Tolerance, while Financial Literacy, Investment Experience, and Overconfidence have a positive effect on Investment Decisions. However, the results of the analysis show that Financial Literacy has an insignificant influence on Investment Decisions, while Investment Experience and Overconfidence have a positive and significant influence on Investment Decisions. Risk Tolerance also has a positive and significant effect on Investment Decisions. In addition, this research finds that Risk Tolerance mediates the relationship between Financial Literacy, Investment Experience, and Investment Decisions. In other words, the greater the Financial Literacy and Investment Experience, the Risk Tolerance will increase, which in turn will increase Investment Decisions. The results of this research provide important insights for National University Master of Management study program students and other stakeholders in understanding the factors that influence investment decisions, as well as the importance of understanding the level of financial literacy and investment experience in managing risk and making wise investment decisions.

PurposeMany family-owned small businesses (F-OSBs) struggled to digitalize their operations and achieve digital innovation performance during the COVID-19 pandemic, leading to significant hardships and setbacks. In this paper, we investigate how an agile mindset in descendant entrepreneurs promotes digital innovation performance in F-OSBs through the mediating role of creative centrality and fintech usage. We also examine how financial literacy moderates the link between an agile mindset and the innovative behaviors of creative centrality and fintech usage; and how the “not-invented-here” syndrome (NIHS) moderates the association between creative centrality and fintech usage, ultimately impacting digital innovation performance in F-OSBs.Design/methodology/approachPrimary data from 226 predecessors and descendant entrepreneurs of F-OSBs were analyzed using partial least squares structural equation modeling (PLS-SEM).FindingsThe findings revealed that creative centrality and fintech usage mediate the relationship between the agile mindset of descendant entrepreneurs and digital innovation performance in F-OSBs. Financial literacy does not moderate the relationship between an agile mindset and creative centrality but moderates the relationship between an agile mindset and fintech usage. The presence of NIHS in the predecessor entrepreneur moderates the relationship between innovative behavior (fintech usage and creative centrality) and digital innovation performance.Research limitations/implicationsThis study has several limitations that provide opportunities for future research. First, this study used cross-sectional data, which limits the ability to establish causal relationships between variables. Second, the use of PLS-SEM in this study may introduce issues such as random sampling errors, model specification errors, and other statistical limitations. Third, although this study took proactive initiatives to tackle the subjective biases in the financial literacy and creative centrality scales, future research should employ scales that lean more towards objective evaluation measurement. Fourth, this study focused on F-OSBs in the retail industry, hence future research could explore the applicability of these findings to other industries or types of business.Practical implicationsOverall, the practical implications of this study highlight the importance of fostering an agile mindset, promoting financial literacy, addressing the obstacles caused by the NIHS, and encouraging creative behaviors alongside the use of digital technologies in F-OSBs. Implementing these practical suggestions could lead to improved digital innovation performance in F-OSBs.Social implicationsThis study examines the moderating role of descendant entrepreneurs’ financial literacy in the relationship between their agile mindset and their creative centrality and fintech usage. This interaction between financial literacy and an agile mindset provides a more nuanced understanding of how these factors work together to stimulate creative centrality and fintech usage to maximize the impact of digital innovation in F-OSBs.Originality/valueBased on the knowledge-based view theory, this study takes a novel approach by investigating how creative centrality and fintech usage mediate between agile mindsets, digital innovative performance, and the boundary conditions of financial literacy and the NIHS.

The purpose of the paper was to assess the effect of financial literacy on the access to finance of SMEs. Thus, the study examined the effect of financial literacy on SMEs’ access to finance in developing economies. Data for the study was collected from SME owners/managers in Ghana through questionnaires. 396 questionnaires were analyzed. The Partial Least Square Structural Equation Modelling (PLS-SEM) was used as the main analytical tool. The study found a significant positive association between financial literacy and access to finance. Financial literacy also had a positive significant effect on risk attitude, whereas the link between risk attitude and access to finance was also found significant. Again, the study showed that risk attitude matters in the nexus between financial literacy and access to finance, as it was found to mediate the link between financial literacy and access to finance. Our findings affirm the dual process theory of reasoning where an entrepreneur’s decision to access finance is guided by two systems of thinking: the automatic unconscious system based on their risk attitude, and the deliberate conscious system where different considerations and models are weighed up based on their financial literacy, both of which serves to magnify or dampen rational decision-making to access business financing. The findings also affirm the Knowledge base view theory (KBV) that, financial literacy is a special strategic asset organizations can use to obtain a competitive advantage over competitors. Practically, SMEs will be encouraged to improve their financial literacy and risk attitude skills.

This study is motivated by the financial literacy of generation Z and also the quality of life insurance products in Indonesia which are moderated by gender in influencing a person's interest in buying life insurance in Indonesia. This study uses a quantitative method with a descriptive relationship approach. Determination of the sample in this study was carried out by calculating using the Bernoulli formula, with a total of 384 respondents. The data analysis technique used is the Structural Equation Model - Partial Least Square (SEM-PLS). The results of the study show that financial literacy (X1) and product quality (X2) do not have a significant effect on buying interest (Y) where the p-values of both variables are <0.05. Other findings also state that Gender (Z) does not significantly moderate financial literacy and product quality. The conclusion of this study is that the factors that make generation Z interested in buying insurance products are influenced by their perceptions of financial literacy and product quality. More specifically, the perception of product quality factors has a significant and positive influence on generation Z's interest in buying life insurance products in Indonesia. The findings show that of the two variables, product quality can be the strongest predictor in predicting generation Z's interest in purchasing life insurance products. Financial literacy cannot significantly predict generation Z's interest in purchasing insurance products. Keywords : financial literacy, product quality, gender, purchasing intention

Many MSMEs still face fundamental challenges such as limited access to formal financing, low financial literacy, and slow adoption of digital technology, including fintech. Sustainable business performance requires business actors not only to survive economically but also to manage their businesses efficiently, have a long-term orientation, and adapt to market and technological dynamics. The purpose of this study is to analyze the role of financial literacy on the sustainable performance of MSMEs by examining the mediating role of financial access and fintech adoption. The method in this study uses the Structural Equation Modeling – Partial Least Squares (SEM-PLS) approach with the assistance of SmartPLS software. This research is a quantitative explanatory study, with the population consisting of MSMEs in Kediri City. The results show that financial literacy does not directly affect MSME performance, but it plays an important role in expanding financial access. This financial access then becomes a significant mediating pathway that connects financial literacy with business performance. Thus, financial literacy will only contribute effectively to MSME performance if it is accompanied by the ability to access and utilize financial services productively. Meanwhile, fintech adoption has been shown to play no significant role, either directly on performance or as a mediator between financial literacy and business performance. This indicates that the use of financial technology remains limited to basic transaction functions and has not been fully integrated into MSME business strategies.

This study aims to examine the effect of financial literacy and overconfidence on application- based investment decisions with religiosity as a moderating variable. The research method used a quantitative approach with a survey technique involving 384 respondents who are active users of digital investment applications in the Sumatra region. Data analysis was performed using Partial Least Square- Structural Equation Modeling (PLS-SEM) with SmartPLS 4.0. The results showed that overconfidence had a positive and significant effect on app-based investment decisions, while financial literacy had no significant effect. Furthermore, religiosity was not found to moderate the relationship between overconfidence and financial literacy on digital investment decisions. These findings confirm that psychological factors, particularly overconfidence, are more dominant than financial literacy and religious values in influencing digital investment behavior. The implication of this study is the need for education that focuses not only on improving financial literacy but also on managing psychological biases so that investors can make more rational decisions.