Inclusive Growth in sub-Saharan Africa: Do Financial Depth and Inclusion Matter?

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Date
2021-08
Authors
Jombo, Wytone
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African Economic Research Consortium
Abstract
This study attempts to contribute to the existing literature by exploring the effect of financial inclusion and depth on inclusive growth for 26 sub-Saharan Africa countries. Using the random effects panel regressions, the results suggest that financial inclusion positively affects inclusive growth in the sub-Saharan region, while financial depth variable does not. At very high levels of financial inclusion, however, the results portray decreasing marginal effects of financial inclusion on inclusive growth. Evidence from this study, however, shows weak transmission channel from financial deepening indicators to inclusive growth.
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