Publications /
Paper in Academic Journals

Back
Unveiling the drivers of Africa’s digital financial inclusion journey
Authors
Zakaria Elouaourti
January 31, 2024

This Paper was originally published on onlinelibrary.wiley.com

This study aimed to unveil the evolving landscape of digital financial inclusion in African countries during the post-COVID-19 era. We examined factors influencing the access and usage of digital financial services and identified population segments facing increased exclusion due to the digital divide. First, by applying principal component analysis to data collected at the country level from 39 African countries in 2014, 2017, and 2022, we developed a digital financial inclusion index. Second, the empirical research utilized a microlevel dataset of 29,042 adults from 29 countries, sourced from the World Bank's Global Findex 2021 database, employing the instrumental variable probit methodology. Comparative analysis showed improvements in digital financial inclusion rankings for Kenya, Lesotho, and Botswana, while Egypt, Sudan, Tunisia, and Niger experienced declines, indicating limited access. Our empirical findings suggest that certain groups, such as women and individuals with limited education and lower incomes, encounter obstacles in accessing digital financial services. Factors such as education level, labor market participation and access to technology and internet infrastructure emerged as crucial in promoting digital financial inclusion. Our sample's representative nature enhances the study's practical implications, guiding public policies and international institutions to accelerate digital financial inclusion in Africa.

RELATED CONTENT

  • June 4, 2020
    Jeunesse et Covid-19 : Les défis de l’emploi en Afrique du Nord (Langue : Français) Le Policy Center for the New South, en partenariat avec le Fonds Monétaire International (FMI), organise un webinaire sous le thème « Jeunesse et Covid-19 : les défis de l’emploi en Afrique du Nord », et...
  • Authors
    Karim EL Mokri
    June 4, 2020
    La pandémie actuelle a frappé de plein fouet l’ensemble des pays, avec des répercussions très lourdes à tous les niveaux. Au plan économique, et face à l’ampleur des dégâts, les Etats ont vite réagi en puisant dans leurs boites à outils disponibles. Toutefois, contrairement à 2008, les marges de manœuvre actuelles sont beaucoup plus réduites et de nombreux Etats n’ont d’autre choix que de s’endetter massivement pour faire face aux effets de la pandémie. Pour un pays, comme le Maroc, ...
  • June 1, 2020
    تدور خطة العمل التي تم وضعها في مواجهة جائحة كوفيد 19 حول ثلاثة محاور: الصحة والاقتصاد والنظام الاجتماعي. وفي كل مجال من هذه المجالات، ساعدت مبادرات المؤسسات العامة والقطاع الخاص وأعضاء المجتمع المدني حتى الآن على الحد من أضرار الوباء على الصعيد الصحي، تسعى الجهود المبذولة إلى التحكم في انتشار المرض من أجل ضمان احتواء المنظومة الصحية لتدفق الحالات بشكل أفضل، خصوصا بالنظر إلى الموارد المحدودة والموزعة بشكل متفاوت على مستوى التراب الوطني. وقد تم إعطاء الأولوية في هذا السياق إلى الزيا ...
  • May 27, 2020
    Next Einstein Forum Managing Director Nathalie Munyampenda talks with Policy Center for the New South Senior Fellow Khalid Chegraoui about the challenges Africa is facing in light of Covid-19. This unprecedented health crisis is severely testing Africa's social, economic and political r...
  • Authors
    Adil El Madani
    May 20, 2020
    Despite the global magnitude of the COVID-19 crisis, the response to the pandemic has mainly occurred at national level, with very poor global coordination so far. For Africa, which will provide one in four of the world’s consumers by 2050, coming out of the crisis will cost at least $100 billion. The average ratio of public revenue to GDP in African countries is only 19%, and the debt burden already absorbs 22% of that revenue, giving many African governments limited scope compared ...
  • Authors
    Benjamin Augé
    May 17, 2020
    The coronavirus epidemic is weakening even further the economies of the Gulf of Guinea, which have already been particularly undermined by an oil sector that has been in crisis for several years. The rapid fall in oil prices will once again put a strain on systems that fail to reinvent and diversify themselves in order to protect themselves from the shortcomings often seen in windfall economies. In addition to the economic impact, it is likely to see the potential security and polit ...
  • Authors
    Hynd Bouhia
    May 14, 2020
    Morocco is today cited as an example for its dynamism, its leadership, under the impetus of His Majesty King Mohammed VI, and, above all, its coherence in decision-making and the involvement of the population, through the Covid-19 Special Fund and the media to maintain public confidence. Indeed, the safety of the Moroccans was given priority over all other considerations, which made it possible to speed up the handling of the events and to supervise the management of the contaminate ...
  • Authors
    Mohammed Germouni
    May 8, 2020
    An examination, inevitably bound to be broad in scope, of the economic and social implications for a country, in this case Morocco, of a sudden pandemic that has broken out in virtually most parts of the world, can only be a prelude to a broader and more comprehensive study to be undertaken in due course. For obvious reasons, especially as the current crisis induced by the primacy of health, could later evolve into a form of economic depression as various multifaceted aid and suppor ...
  • Authors
    Mohammed Germouni
    May 8, 2020
    Un examen, nécessairement à grands traits, des incidences économiques et sociales pour un pays, en l’occurrence le Maroc, d’une soudaine pandémie qui s’est déclarée sur presque la plupart des régions de la planète, ne peut être qu’un simple prélude d’une large étude exhaustive à entreprendre le moment venu. Et ce pour des raisons évidentes, à savoir que la crise en cours induite par le primat du sanitaire, pouvant évoluer, ensuite, en une forme de dépression économique que divers pr ...