The effect of financial inclusion on economic growth: the role of human capital development

Abstract

This research aims to investigate how financial inclusion affects the expansion of the economy in sub-Saharan Africa. It was conducted through a quantitative research design to analyse the interactive effects of financial inclusion and human capital on this growth. The research was conducted in 47 African countries between 2010 and 2020. The study found that financial inclusion and economic growth were positively correlated using a Driscoll Kray error estimate approach. Financial inclusion has a beneficial effect on economic growth through human capital. To boost economic growth in sub-Saharan Africa, the agenda for financial inclusion must be continuously improved, and human capital development must be furthered.