Impact of Financial Literacy on the Performance of Female-Owned Micro-Business Enterprises in Ebonyi State

Background: Microbusinesses are the catalysts for economic growth and development. In Ebonyi State, microbusinesses are dominated by women entrepreneurs. Despite their contribution to local economic development and employment, female- owned microbusiness enterprises are constrained by limited access to financial resources. Objective: This study investigated the influence of financial literacy on performance of female –owned microbusiness enterprises in Ebonyi State. Method: This study adopted descriptive survey design. The study sampled three hundred and eighty seven (387) female microbusiness owners which were selected randomly. Structured questionnaire was used to collect data for this study. Analysis was done using ANOVA. Results: The study found insignificant impact of financial literacy on performance of female-owned microbusiness enterprises in Ebonyi State and majority of the female microbusiness owners lack access to financial resources. Conclusion: The study concludes that majority of female micro-business owners in Ebonyi state lack financial knowledge irrespective of the some government initiative programmes that are geared towards women financial inclusion. Unique Contribution: This study provided a fresh insight into measuring financial literacy in terms of knowledge about financial concepts and products and its influence on female-owned micro businesses thereby yielding policy prescription on importance of financial literacy in promoting microbusinesses. Key Recommendation: The recommended financial education and training for female micro business owners in Ebonyi state. Key words: Financial Literacy, micro business and performance