Evaluation of the level of financial literacy of entrepreneurs of MSMES – case of rural areas in Albania
Evaluation of the level of financial literacy of entrepreneurs of MSMES – case of rural areas in Albania

Author(s): Perseta Grabova, Greta Bakiasi, Xhorxhina Gjoni
Subject(s): National Economy, Business Economy / Management
Published by: Икономически университет - Варна
Keywords: financial literacy; entrepreneurs; financial inclusion; Albania
Summary/Abstract: Micro-Small and medium-sized enterprises (MSMEs) make up the majority of enterprises in Albania. International studies argue that the low level of financial literacy is a major obstacle to seeking financial products and services for MSMEs, since their entrepreneurs are unfamiliar with such products and services and consequently do not ask to access them. The main purpose of this research is to assess the impact of the financial literacy components in promoting financial inclusion for MSMEs entrepreneurs in rural areas in Albania. Based on the data collected through the survey, it was also analyzed, the relationship between entrepreneurs financial literacy, demographic and socio-economic factors. From the results of this study it was concluded that skills, knowledge and financial attitude are necessary to enable the financial inclusion of entrepreneurs. Also, significant differences have been noted in the level of financial literacy according to the socio-demographic characteristics of MSMEs entrepreneurs. The findings of this study are important for government authorities, educational institutions and financial system actors. Understanding the level of financial literacy of entrepreneurs can contribute not only in clarifying their financial decision making process but also their business performance

• Details
• Contents