Role of Digital Payment Practices in Green Finance Orientation: A Study among Millennials in Kerala

Abstract

Aims: In a digitally oriented sustainable financial ecosystem, this study emphasizes the relationship of green finance orientation and usage of digital payment practices among the Millennials in Kerala. The objectives set for the study are to identify the factors influencing usage of digital payment options in a sustainability-focused world, to analyze the level of awareness about Green financial behaviour and digital payments and to evaluate the role of Green finance-oriented payment options in promoting environmentally responsible financial behavior. Study Design: Descriptive and Analytical Research Design is undertaken by collecting data from Millennial users of Fintech payment practices, within the Geographical boundary of Kerala. Place and Duration of Study: The study is conducted in Kerala among Millennial category during the year 2025. Methodology: The sample size of the study is 206 (97 men, 109 women; age range 29-44 years). Various analysis tools (Descriptives, Kruskal–Wallis H Test, Dwass-Steel-Critchlow-Fligner Pairwise Comparisons, Spearman’s Rank-Order Correlation, Multiple Linear Regression Analysis, Pearson’s Product–Moment Correlation Coefficients and Linear Regression Analysis) used in the study to draw necessary interpretations with the help of statistical software package Jamovi. Results: Descriptives reveal a high level of awareness regarding the digital payment mechanism and correlation (level of awareness to influencing factors of digital payment usage: Spearman's rho 0.807***, p-value<.001) explains existence of internal consistency among the variables, while the regression model based on demographic factors (Level of awareness about Green financial behaviour and digital payments: p-value<0.666, R 0.0159, F 0.645) is not statistically significant, which means more behavioural, attitudinal and environmental factors beyond the demographic factors need to be explored. The study recommends for further research that more enhanced awareness level and behavioural factors can lead to more efficient sustainable financial practices. Conclusion: The digital payment adoption by Millennials can positively contribute towards an environment-friendly financial system. This study leads insights to Government, Policy makers, Education system, Fintech service providers etc. which help them to formulate measures which can encourage the financial practices in a more sustainable manner.