AI Integration and Inclusive FinTech Innovation: Cross-Country Firm-Level Evidence

Despite growing claims that artificial intelligence (AI) can transform FinTech innovation and expand financial inclusion, cross-country firm-level evidence remains limited. This study examines how AI integration is associated with the efficiency of FinTech innovation and financial inclusion among AI-adopting FinTech firms. Drawing on Technology Adoption Theory and Innovation Diffusion Theory, the paper conceptualizes AI integration as a firm-level capability reflected in AI expenditure, AI-enabled products, and automation intensity. Using a cross-sectional dataset of 300 AI-adopting FinTech firms across multiple countries and FinTech verticals, the study estimates OLS regression models with heteroskedasticity-robust standard errors, conducts mediation analyses, runs moderation tests, and performs robustness checks. The results show that AI integration is positively associated with FinTech innovation efficiency (β = .429, p < .001) and financial inclusion (β = .361, p < .001). However, FinTech innovation efficiency does not significantly mediate the relationship between AI integration and financial inclusion. Implementation challenges and regulatory conditions also do not significantly moderate the main associations. The findings suggest that AI integration is a meaningful firm-level capability linked to innovation and inclusion outcomes, while also showing that the mechanisms and contextual boundaries of these relationships require further longitudinal and comparative research.