"The Impact of Digital Transformation in Enhancing Financial Inclusion: A Case Study of North Africa Bank"

Abstract

This study aims to examine the impact of digital transformation dimensions on enhancing financial inclusion through a case study of North Africa Bank. The study adopted a descriptive-analytical approach and used a structured questionnaire to collect data from a sample of 44 respondents. The results revealed a strong, positive, and statistically significant correlation between digital transformation and financial inclusion (r = 0.764, p < 0.001). Multiple regression analysis also showed a statistically significant overall effect of the digital transformation dimensions on financial inclusion, explaining 60.9% of its variance (R² = 0.609), with the overall regression model being statistically significant (F = 20.755, p < 0.001). The findings further indicated a statistically significant overall effect of the digital transformation dimensions on financial access, financial usage, and perceived service quality. At the individual dimension level, technological and software readiness and electronic payment channels and services had statistically significant effects on financial inclusion, whereas information security and confidentiality did not show a statistically significant individual effect. Electronic payment channels and services also had the strongest relative effect in the main regression model (β = 0.495). The study recommends continuing to develop the bank's technological infrastructure and digital services, strengthening electronic payment channels, and improving information security and confidentiality to support financial inclusion.