Mobile money, ICT, financial inclusion and growth: How different is Africa?

C-Tier
Journal: Economic Modeling
Year: 2023
Volume: 121
Issue: C

Authors (4)

Ahmad, Ahmad Hassan (Loughborough University) Green, Christopher J. (not in RePEc) Jiang, Fei (not in RePEc) Murinde, Victor (not in RePEc)

Score contribution per author:

0.251 = (α=2.01 / 4 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We investigate the contributions of fixed and mobile telecommunications (ICT) and mobile money to economic growth and financial inclusion in a 22-year panel of 146 countries. We extend the Solow growth model to include human capital, money, ICT, and mobile money, splitting the sample into sub-Saharan Africa (SSA) and the rest of the world (RoW) in addition to the whole sample analysis. We find mobile money affects economic growth through direct and indirect channels. Mobile money has a significant overall positive impact on growth, especially in countries with better mobile phone penetration and more dispersed populations. But its total quantitative effect is not large. Mobile money also tends to improve financial inclusion which in turn promotes growth. There are important differences between the SSA and RoW parameters, implying that the quantitative determinants of growth are different to some extent as between SSA and RoW.

Technical Details

RePEc Handle
repec:eee:ecmode:v:121:y:2023:i:c:s0264999323000329
Journal Field
General
Author Count
4
Added to Database
2026-01-24