Factors Influencing Mobile Banking Adoption in Pakistan: An extension of UTAUT Model

Abstract

This study examines the behavioural factors influencing mobile banking acceptance in Pakistan, emphasizing the mediating roles of perceived benefits, perceived learning, and mobile self-efficacy, by extending the Unified Theory of Acceptance and Use of Technology model. The study explores how these elements impact behavioural intention i.e .Performance Expectancy, Effort Expectancy, Social Influence and Facilitating conditions to use mobile banking services, exploring the cognitive processes involved in adoption decisions. 654 valid responses were used to compute direct and mediation effects using SPSS version 27 and the partial least squares using Smart PLS 4.0 software. Significant direct effect was observed on all behavioural factors except social influence. However, mediation was observed in performance expectancy and facilitating condition. These findings emphasise the critical role of perceived benefits, perceived learning, and mobile self-efficacy in influencing mobile banking adoption in Pakistan, providing practical insights for stakeholders aiming to enhance digital financial services. The insights gained are valuable for Pakistani fintech companies and financial institutions to promote mobile banking usage, for policymakers to devise strategies for digital financial inclusion, and for contributing to the broader research on technology acceptance in emerging markets.