EFFECT OF DIGITAL FINANCIAL SERVICES ON HOUSEHOLD FOOD SECURITY IN NIGERIA

Abstract

The main objective of this study was to examine the effect of digital financial services on household food security in Nigeria, while the specific objectives were to examine the effect of mFarms and the Nigerian e-wallet system on household food security. The study adopted a cross-sectional survey research design, and the population comprised farming households in Nigeria with access to digital financial services, from which a sample size of 384 respondents was determined using Cochran's formula. Primary data were collected through a structured questionnaire administered to the selected respondents, while the hypotheses were tested using multiple regression analysis with the aid of the Statistical Package for Social Sciences (SPSS) version 26 at a 5 percent level of significance. The findings revealed that: mFarms had a positive and significant effect on household food security in Nigeria (β = 0.417; p = 0.000); The Nigerian e-wallet system had a positive and significant effect on household food security in Nigeria (β = 0.454; p = 0.000). The study concluded that digital financial services play an important role in improving household food security in Nigeria by strengthening farmers' access to agricultural information, financial resources, and government support programmes. The study therefore recommended that government agencies, financial institutions, and agricultural stakeholders should expand access to mFarms and the Nigerian e-wallet system through improved digital infrastructure, greater awareness, enhanced digital literacy, and increased support for rural farming households.