Digital Financial Livelihood as Coping Strategies for Mitigating Youth Economic Insecurity in Low-Connectivity Areas of Balochistan

Abstract

This paper is an exploration of digital financial livelihoods as survival mechanisms to address youth economic insecurity in low-connectivity regions in Balochistan, Pakistan. The study fills the knowledge gap between the potential of digital financial inclusion and its real constraints in structurally disadvantaged areas. A qualitative research design was adopted with three districts (Quetta, Khuzdar and Chaman) being targeted. A sample of 21 participants, who were involved in digital financial activities, was chosen using purposive sampling. The data were gathered by using in-depth interviews using a semi-structured interview guide and thematic analysis were used to determine important patterns and insights. Results indicate that the continued infrastructural issues, especially lack of a reliable internet connection and power failures are major factors that impede successful engagement in online financial transactions. The digital finance is not fully accessible and unequal, which restricts its ability to be a reliable source of livelihood. Digital work takes multiple shapes, that is, freelancing, online business and digital training, which are carried out by participants mainly by the use of mobile technology. Nevertheless, the activities are small and fragile. Structural barriers to digital literacy, institutional support and policy attention are also listed as the structural barriers in the study. Consequently, online financial livelihoods do not decrease economic insecurity but lead to financial instability and psychological stress. The paper finds that digital livelihoods in Balochistan represent limited coping strategies and not economic solutions to sustainable livelihoods. It is necessary to have integrated interventions, such as investment in infrastructure and growth of digital education, to achieve effective results. The study adds to the body of knowledge on digital inclusion in low-connectivity settings and the importance of policy responses to the context.

Keywords: Digital Finance; Livelihood; Youth; Economic-insecurity; Low-Connectivity.