DIGITAL LITERACY AND SURVIVAL OF MOBILE-MONEY FIN-TECH START-UPS IN LAGOS METROPOLIS

Abstract

In today’s tech-driven world, digital literacy is crucial for fintech start-ups aiming to digitalize financial services. This study examines how digital literacy through digital skills and knowledge impacts the survival of fintech start-ups in the mobile money sector. These start-ups, while advancing financial inclusion and innovation, grapple with challenges such as high technology costs, regulatory hurdles, and trust issues. Analyzing data from 249 respondents using SmartPLS4, the study found that digital literacy significantly enhances survival, with digital skill and knowledge serving as key elements at 0.005 and 0.011 significance level respectively. The study revealed that there is need to equip teams with digital skills, improving access to financial resources, and fostering an entrepreneurial culture to overcome competitive pressures. It concludes that investing in digital literacy is vital for fintech start-ups to innovate, thrive, and maintain market presence, recommending a focus on several field areas to boost operational efficiency and ensure long-term survival.