Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You and Your Team.

Learn More →

What determines financial inclusion in Sub-Saharan Africa?

What determines financial inclusion in Sub-Saharan Africa? PurposeThe purpose of this paper is to investigate the determinants of financial inclusion (FI) in Sub-Saharan Africa (SSA).Design/methodology/approachThe paper uses the World Bank country-level data from 20 SSA countries for the year 2014.FindingsThe empirical findings in this study indicate that illiteracy is the major hindrance to FI in SSA. The findings provide useful information to government agencies and international development organisations. Also, the findings can help accelerate and strengthen FI strategies among SSA countries.Research limitations/implicationsSome countries were excluded from the final analysis due to lack of data.Practical implicationsIn the last two decades, there has been renewed interest in fighting financial exclusion in Africa. Therefore, this study provide evidence which clearly shows that enhancing literacy levels in a country can immensely contribute towards building the financially inclusive societies in the SSA region.Originality/valueTo the best of the author’s knowledge, this is the first study to empirically test the determinants of FI in SSA using the World Bank FI data set. Furthermore, this is the first attempt to estimate the determinants of FI with a combined data of SSA countries. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png African Journal of Economic and Management Studies Emerald Publishing

What determines financial inclusion in Sub-Saharan Africa?

Loading next page...
 
/lp/emerald-publishing/what-determines-financial-inclusion-in-sub-saharan-africa-z4oZ70jYZb
Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
2040-0705
DOI
10.1108/AJEMS-01-2016-0007
Publisher site
See Article on Publisher Site

Abstract

PurposeThe purpose of this paper is to investigate the determinants of financial inclusion (FI) in Sub-Saharan Africa (SSA).Design/methodology/approachThe paper uses the World Bank country-level data from 20 SSA countries for the year 2014.FindingsThe empirical findings in this study indicate that illiteracy is the major hindrance to FI in SSA. The findings provide useful information to government agencies and international development organisations. Also, the findings can help accelerate and strengthen FI strategies among SSA countries.Research limitations/implicationsSome countries were excluded from the final analysis due to lack of data.Practical implicationsIn the last two decades, there has been renewed interest in fighting financial exclusion in Africa. Therefore, this study provide evidence which clearly shows that enhancing literacy levels in a country can immensely contribute towards building the financially inclusive societies in the SSA region.Originality/valueTo the best of the author’s knowledge, this is the first study to empirically test the determinants of FI in SSA using the World Bank FI data set. Furthermore, this is the first attempt to estimate the determinants of FI with a combined data of SSA countries.

Journal

African Journal of Economic and Management StudiesEmerald Publishing

Published: Mar 13, 2017

References