Original title: Determinants of Financial Inclusion in Africa and OECD Countries
Authors: Kočenda, Evžen ; Eshun, S. F.
Document type: Research reports
Year: 2023
Language: eng
Series: IES working papers, volume: IES WP 18/2023
Abstract: Sub-Saharan Africa (SSA) has been identified as one of the least financially inclusive regions in the world with a huge disparity in comparison to highly financially inclusive regions. Using a dynamic panel data analysis, we explore the factors influencing financial inclusion in Sub-Saharan Africa (SSA) using countries belonging to the Organisation for Economic Co-operation and Development (OECD) as a benchmark. We employ the System Generalized Method of Moments (GMM) estimator and assess 31 SSA and 38 OECD countries from 2000-2021. We show that the differences in trade openness, banks' efficiency, income, and remittances are some macro-level factors that explain the variation in financial inclusion levels. We highlight the importance of quality literacy policies, trade improvement with restrictions on cross-border capital flows, and a more efficient financial system to promote financial inclusion.
Keywords: Financial Inclusion; Financial Inclusion Index; Sub-Saharan Africa

Institution: Institute of Information Theory and Automation AS ČR (web)
Document availability information: Fulltext is available at external website.
External URL: http://library.utia.cas.cz/separaty/2023/E/kocenda-0572589.pdf
Original record: https://hdl.handle.net/11104/0344417

Permalink: http://www.nusl.cz/ntk/nusl-532598


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