Determinants of Financial Access Among Youth: The Role of Demographics and Financial Literacy

Abstract

Financial access plays a critical role in improving financial well-being and economic participation of individuals, particularly youth who were entering formal financial systems for the first time. This study examines the level and determinants of financial access amongst youth in Kachchh district of Gujarat. Primary data were collected from 260 respondents through structured questionnaire and analyzed through cluster analysis and discriminant analysis to classify youth into financial access groups and identify the key determinants shaping their financial access levels. The findings reveal notable disparities across gender, income, education and place of residence, with youth from urban areas, higher household income and stronger financial literacy exhibiting significantly better financial access. This study contributes to the existing literature by providing focused, youth centric empirical evaluation of financial access and offering practical insights to policymakers, financial institution, and educational stakeholders aiming strengthen financial inclusion.