Investigating the role of financial literacy in the financial sustainability of micro-businesses at Bokamoso Entrepreneurial Centre in Namibia

This study investigated the role of financial literacy on the financial sustainability of micro-businesses at the Bokamoso Entrepreneurial Centre in Namibia. Data was collected from 18 micro-business owners operational in the Centre. The study employed a qualitative method using an interview guide to conduct face-to-face interviews. Results show that 89 percent of micro-business owners are financially illiterate and this affects the financial sustainability of micro-businesses. Furthermore, the study revealed that all micro-businesses in the centre do not have access to funds in the formal financial market. This may be caused by micro-business owners’ low level of financial literacy that reduces their confidence to participate in the formal financial market and this influences their financial decision-making. It was also revealed that politics, high collateral and lack of information are some of the major factors that prevent micro-businesses from accessing funds. The study also revealed that 78 percent of micro-business owners have bad financial attitude. As a result, the study recommends for financial education to be introduced in schools from primary school level. There is also a need for major players in the financial market to conduct seminars to create awareness and make information available to the micro-business owners.

Grantor dc:publisher

University of Namibia

Year dc:date.issued

2023

Author dc:creator

• Fillipus, David

• Financial literacy
• Financial sustainability
• Micro-businesses
• Bokamoso Entrepreneurial Centre
• Namibia

Language dc:language.iso

en

Handle dc:identifier.uri

http://hdl.handle.net/11070/3778

OAI identifier oai:identifier

oai:repository.unam.edu.na:11070/3778