Study On Identifying The Factors Of Individual’s Adoption To Fintech In Saudi Arabia: An Empirical Analysis

Abstract

Financial technology offers customers an alternative to the old banking system and changes financial transactions (Ahmed & Schneegans, 2018). The Kingdom of Saudi Arabia (KSA) has encouraged and supported financial technology companies throughout. This study examines Saudi Arabians' fintech adoption factors. Financial technology adoption faces several challenges. These include unfamiliarity with the services, security and privacy concerns, and lack of IT infrastructure. Cultural and regulatory considerations may affect company and consumer financial technology adoption. Conservatism, risk aversion, and a preference for conventional financial services may have slowed financial technology implementation in Saudi Arabia. Fintech adoption in KSA requires a comprehensive plan that addresses the industry's existing position and challenges. The government must adopt the above policies to fully actualize Saudi Arabia's Fintech sector's potential. Financial technology has changed how people and organizations handle money, affecting the financial services sector. Entrepreneurs and investors are benefiting from Saudi Arabia's fintech boom. However, only a minority of people use financial technology, and this minority depends on many factors. This literature study examines Saudis' varied reactions to financial sector changes. This study relies on social science positivism. Positivism encourages quantitative research for understanding study subjects and its linked parts. This approach lets researchers do statistical evaluations of variable interactions and assign numerical values to abstract notions. Quantitative research depends on extrapolation and generalization. Quantitative research is more objective, efficient, exact, and able to quantify importance. Polls, surveys, and questionnaires measure public opinion. Legislation, infrastructure, and trust may hinder fintech adoption, according to study. Research from Saudi Arabia, Pakistan, and Hong Kong supportsthis study's conclusions. The study found that local fintech businesses should prioritize web usability, service quality, privacy, and information quality to enhance fintech acceptance in Saudi Arabia. These factors are crucial to financial technology adoption in Saudi Arabia. Financial technology companies should address infrastructure and customer distrust as barriers to widespread adoption.