The impact of digital finance, particularly mobile money, on financial inclusion and income among rural residents in the Kembata Tambaro zone

This study examines how digital finance, particularly mobile money, affects financial inclusion and income among rural households in Kembata Tambaro zone, Ethiopia. A mixed-methods approach was applied, combining structured questionnaires, focus group discussions, and key informant interviews with a representative sample of 399 respondents selected through a three-stage random sampling strategy. Quantitative data were analysed using a double hurdle model (binary logistic regression and zero-inflated negative binomial regression) for adoption and intensity, a sequential logit model for financial inclusion, and propensity score matching (PSM) for income effects. Qualitative data were thematically analysed to provide contextual depth. The findings highlight digital finance as a key tool for improving rural livelihoods and reducing financial exclusion.