| dc.description.abstract | The performance of SMEs is heavily reliant on the presence of financial inclusion
facilitators, which can determine their success or failure. These facilitators encompass
a range of initiatives and systems designed to assist SMEs in obtaining financial
services and achieving greater integration. The main aim of the study was to determine
the effect of factors that promote financial inclusion on the performance of small and
medium firms in Uasin-Gishu county. The specific objectives were to ascertain the
effect of digital financial services on the performance of SMEs in Uasin-Gishu County,
to investigate the effect of credit access on the performance of SMEs in Uasin-Gishu
County, to evaluate the effect of financial literacy programs on the performance of
SMEs in Uasin-Gishu County, and to assess the effect of agent banking on the
performance of small and medium enterprises in Uasin-Gishu County. The explored
theories encompass the diffusion of innovation theory, credit rationing theory,
dynamic capacities theory, and institutional theory. This inquiry employed a crosssectional survey as its research design. The study primarily focused on SMEs in UasinGishu County that possess a single business permit. These enterprises employed less
than twenty individuals. 1300 SMEs were included in the target population. Sample
size included 306 SMEs. The researcher employed a method of stratified proportional
sampling. The bulk of the material was derived from a methodical survey that mostly
consisted of closed-ended questions. Initially, we will employ 10% of the ultimate
sample size as an approximation. A total of 31 respondents were selected at random
from this pool. The study employed inferential statistics to evaluate hypotheses. Prior
to doing the regression, the research performed diagnostic tests to assess the
assumptions. Pearson's correlation analysis revealed a positive and statistically
significant relationship between agent banking, digital financial services, credit access,
financial literacy programs, and the success of SMEs. The managerial
recommendations included digital financial services, staff training, strategic
borrowing, financial literacy, and agent banking. Several policy recommendations
were made, such as the construction of digital infrastructure, the expansion of credit
accessibility, the promotion of financial literacy, and the enlargement of agent banking
networks. | en_US |
