Effect of Financial Inclusion on the Human Capital Development of Women Entrepreneurs in North-Central Nigeria

Abstract

In both developed and developing economies, women-owned businesses play a crucial role, particularly within the small and medium-sized enterprises (SMEs) sector largely contributing to the growth of economy. Despite their contributions, women entrepreneurs in North-Central Nigeria face significant barriers, with limited financial inclusion being one of the most pervasive. This study examines the effect of financial inclusion on human capital development of women entrepreneurs in North-Central Nigeria. The study adopted a cross-sectional survey research design and the population was 37,690 registered women entrepreneurs and employing the Taro Yamane formula the sample size of the study became 396. Primary data was used to collect information from the respondents by using a structured questionnaire. The study used Ordinal Logistic Regression tool of analysis to regressed the data gotten from the respondents and the finding revealed that financial inclusion Affordable Credits (AFFC = 0.1635, p < 0.00); and Financial Advice (FINA = 0.0234, p < 0.01) has a positive and significant effect on human capital development (education and training) of women entrepreneurs in North-Central Nigeria. The study recommends that stakeholders, especially financial regulators and fintech companies continue to expand women-focused financial inclusion programs. This should involve designing simple mobile platforms that allow women to open accounts, access credit, and make payments. These platforms must be complemented by digital literacy programs delivered in local languages to ensure women can effectively navigate and utilize digital tools for business growth.