Vol. 2 No. volume 2 issue 11 jan pg 1998-2013 (2026): Digital Payment Adoption and Financial Inclusion: Examining the Mediating Role of Financial Literacy and the Moderating Effect of Digital Trust in India

Abstract

Digital payment acceptance is recognised as a significant stimulator of financial inclusion by providing underserved and unbanked individuals’ access towards the structured economic systems. The drivers of digital payment adoption among the Indian population are the initiatives of Digital India by the government and the elevation of internet and mobile accessibility. This study aims to evaluate the digital adoption trends, digital trust style, digital literacy & awareness level, and financial inclusion among Indian users. The study followed the protocols of the inductive approach, secondary data collection method, and thematic analysis to access qualitative information. The findings outlined that the scope of digital payment acceptance by Indian users is limited due to the absence of financial literacy. Without having digital trust, financial inclusion is discarded. One of the most effective recommendations for this study is to follow the mixed data collection method, statistical analysis, and focus on implementing strong system security to measure the digital payment channels adoption patterns and accelerate financial inclusion through digital payments.  

Keywords: Financial Literacy, Digital Trust, Digital Payment Adoption, Financial Inclusion, Digital India