Title: Financial technology: an alternative for financing small and medium-sized enterprises in Nigeria

Authors: Adam Konto Kyari; Musa Garba Gulani; Bukar Zanna Waziri

Addresses: Department of Accounting, Faculty of Management Sciences, University of Maiduguri, Nigeria ' Department of Accounting, Faculty of Management Sciences, University of Maiduguri, Nigeria ' Department of Accounting, Faculty of Management Sciences, University of Maiduguri, Nigeria

Abstract: This study examines the factors influencing small and medium size enterprises' (SMEs) decision to adopt Fintech as alternative source of finance. Data was gathered through a five-point Likert questionnaire and analysed via descriptive statistics, factor analysis, and multiple regression analysis. Except for changes in organisational characteristics which revealed a negative effect, changes in all the other three components of external system, innovation characteristics, and staff/individual characteristics revealed positive relationship with SMEs decision to adopt Fintech as alternative financing. Accordingly, this study concludes that Fintech is readily available, accessible, observable, and cost effective for SMEs in Nigeria. It is concluded that SMEs operators are satisfied that the Fintech industry in Nigeria is adequately regulated. Furthermore, the study concludes that Fintech adoption as alternative finance is consistent with SMEs beliefs, attitudes, and values. The study recommends further research on using longitudinal research design to cover SMEs long-term decision-making process.

Keywords: financial technology; alternative; financing; small and medium enterprises; SMEs; developing economy; Nigeria.

DOI: 10.1504/IJTLID.2024.137484

International Journal of Technological Learning, Innovation and Development, 2024 Vol.15 No.3, pp.307 - 328

Received: 16 May 2023
Accepted: 17 Dec 2023
Published online: 20 Mar 2024 *