Going Digital: Financial Inclusion in Asia Pacific Economies

Even though financial inclusion (FI) is being paid increasing consideration from policy makers and academics, the impact that digital finance (DF) has on FI did not receive enough attention. Hence the aim of this study is to inspect association between FI and DF in a panel study that includes ten Asia-Pacific economies. To measure FI, an amalgamated index comprised of three sub-indices is used: availability, access, and use of financial services. To measure Digital finance, the no. of ATMs per one hundred thousand adults is used. By Using annual statistics for ten Asia Pacific nations from 2013-2024, (Sys-GMM) the system generalized method of moments panel method is employed. This study uses nearly five control factors in addition to the primary variables. The results of the study, showed that DF had substantial impact on the quantity of commercial bank payment accounts per one hundred thousand individuals, implying Digital Finance and financial services valuation are associated. The findings of this study are used by policymakers and digital financial service providers in these economies to raise FI standards.