THE NEXUS BETWEEN FINANCIAL INCLUSION AND INCLUSIVE GROWTH: A LITERATURE SURVEY

Financial inclusion is the delivery of formal financial services to vulnerable and excluded populations and serves as a critical tool for addressing asymmetric growth patterns. This literature survey examines the nexus between financial inclusion and inclusive growth. The evidence demonstrates that financial inclusion operates through key transmission channels: reducing income inequality, alleviating poverty, and fostering entrepreneurship among marginalized groups. These outcomes constitute fundamental indicators of inclusive growth. The synthesis reveals robust mechanisms through which expanded access to formal financial services translates into more equitable development patterns, particularly benefiting bottom-of-the-pyramid populations.