| Abstrakt: |
The goal of this study is to analyse the role of financial inclusion, governance, and remittances on growth in Sub-Saharan African countries (SSA), as well as the moderating influence of the role of financial inclusion on the remittances-growth nexus, using panel data spanning 1996-2020. Data were collected through secondary sources, including World Bank and IMF reports for the period 1996-2020. By using a principal component analysis method, we constructed composite FI indexes to measure the degree of FI. Cross-sectional dependence, slope homogeneity, and pooled mean grouping (PMG) are employed to evaluate the stated objectives. The study findings showed that remittances have a significant positive relationship with economic growth, and that positive financial inclusion moderates the remittance-growth nexus in SSA countries. Given the findings that the level of governance has an adverse influence on growth, hence stakeholders should improve financial infrastructure, which provides the underlying instrument for financial inclusion, and protect customers by instituting controls and procedures for reporting, fairness, and resorting to SSA countries. Governments should also promote the larger global remittances agenda, which includes leveraging remittances for better consumer and business financing, and exposure to global financial markets through refinancing and the issue of diaspora bonds. [ABSTRACT FROM AUTHOR] |
