The Impact of Financial Inclusion on Economic Growth: An Econometric Study of a Sample of Arab Countries from 2004- 2023

Financial inclusion, a fundamental pillar of financial stability and economic growth, is the focus of this study.The aim is to highlight the role of financial inclusion in driving economic growth in a sample of Arab countries.To achieve this goal, data from six Arab countries over the period 2004--2023 were collected.The panel analysis method was used to estimate the relationship between financial inclusion, as indicated by three metrics: ATMs per 100,000 adults, account ownership per adult, the number of depositors per 1,000 adults, and real GDP, a measure of economic growth.The study, which is based on the Cobb-Douglas model, revealed a significant and positive correlation between financial inclusion and economic growth in the sample countries.The practical implications of these findings are significant, particularly the influence of the ATM indicator on real GDP, providing policymakers and financial institutions with valuable insights and empowering them to make informed decisions that can drive economic growth.

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Publication Details

Journal
Science Education and Innovations in the Context of Modern Problems
Published
2025-07-18
DOI
https://doi.org/10.56334/sei/8.8.69
Primary Topic
Microfinance and Financial Inclusion
Type
article
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article

The Impact of Financial Inclusion on Economic Growth: An Econometric Study of a Sample of Arab Countries from 2004- 2023

Kerroumi Assia
Science Education and Innovations in the Context of Modern Problems
Microfinance and Financial Inclusion
article

The Impact of Financial Inclusion on Economic Growth: An Econometric Study of a Sample of Arab Countries from 2004- 2023

Kerroumi Assia
article en

Abstract

Financial inclusion, a fundamental pillar of financial stability and economic growth, is the focus of this study.The aim is to highlight the role of financial inclusion in driving economic growth in a sample of Arab countries.To achieve this goal, data from six Arab countries over the period 2004--2023 were collected.The panel analysis method was used to estimate the relationship between financial inclusion, as indicated by three metrics: ATMs per 100,000 adults, account ownership per adult, the number of depositors per 1,000 adults, and real GDP, a measure of economic growth.The study, which is based on the Cobb-Douglas model, revealed a significant and positive correlation between financial inclusion and economic growth in the sample countries.The practical implications of these findings are significant, particularly the influence of the ATM indicator on real GDP, providing policymakers and financial institutions with valuable insights and empowering them to make informed decisions that can drive economic growth.

Science Education and Innovations in the Context of Modern ProblemsVol. 8(8)
University of Algiers 3 (DZ)
Reduced inequalities
Openalex Percentile: Top 70%
Microfinance and Financial Inclusion
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