Impact of Financial Literacy on Investment Practices among Female Entreprenuers: A Case of Northmead Market

Abstract

This study examines the impact of financial literacy on the investment practices of female entrepreneurs in Northmead Market, Lusaka, with a focus on budgeting skills, savings behavior, access to financial information, and risk management knowledge. A mixed-methods approach was employed, using structured questionnaires to collect quantitative data from 120 female entrepreneurs and in-depth interviews with 15 participants for qualitative insights. Regression and correlation analyses were used for quantitative data, while thematic analysis provided qualitative insights. The findings reveal that budgeting skills and savings behavior significantly influence investment decisions. Access to financial information enhances investment practices and risk management knowledge does have an impact on the investment practices of the female entrepreneurs at Northmead market. The study does not focus on the general growth of female entrepreneurship but specifically examines investment practices and how financial literacy influences decision-making. The results highlight the need for targeted financial literacy programs, digital financial solutions, and improved access to institutional credit to enhance the investment capacity of female entrepreneurs. Keywords: Investment practices, Female entrepreneurs, Risk management, financial information, Savings behaviour, Budgeting skills.