Changes in societal welfare generate significant differences in the choice of payment methods among economic actors. This situation leads to shifts and developments in financial instrument preferences. Individuals’ experiences with various financial instruments not only transform payment habits but also result in differentiated consumption preferences. In particular, increases in income levels facilitate individuals’ access to technological innovations. This, in turn, accelerates the digitalization process of the financial ecosystem, enhances efficiency in economic transactions, reduces transaction costs, and contributes to the contraction of the informal economy. At the same time, the widespread adoption of digital payment systems strengthens financial inclusion by facilitating access to financial services for all segments of society. Collectively, these developments pave the way for a more balanced and sustainable structure of economic participation.

Accordingly, digitalization offers multifaceted opportunities for the economy as a whole—such as efficiency, transparency, and inclusive growth—beyond the convenience and cost advantages it provides to individuals. These transformative effects necessitate empirical investigation. Financial digitalization not only alters payment systems but also enhances financial accessibility, thereby increasing economic efficiency. Indeed, in Türkiye, the expansion of digital payment infrastructures in recent years has reshaped the financial behaviors of economic actors. In this context, examining the effects of financial digitalization on economic development is of particular importance for the formulation of sustainable growth and macroeconomic stability policies.

Based on this motivation, the primary aim of this study is to empirically investigate the relationship between economic development and financial digitalization in Türkiye using econometric methods. In the analysis, GDP per capita is employed as an indicator of economic development, while internet-based card payments, mobile contactless payments, and a card payment index are used as proxies for digital financial transformation. Using quarterly data for the period 2016Q2–2024Q4, the Fourier-ADL approach is applied to identify the temporal structure of the relationship and potential structural breaks, while the FMOLS method is employed to estimate long-run coefficients. The findings obtained within this methodological framework highlight the critical importance of strengthening the digital financial system for macroeconomic stability and sustainable growth policies.