| Abstract: |
Using six widely accepted indicators, this study compares the progress made in
financial inclusion in Nigeria, Sub-Saharan Africa and the rest of the World,
with a view to deducing lessons that each entity can improve upon. We find
that Nigeria outperformed sub-Saharan Africa in three indicators of financial
inclusion while sub-Saharan Africa did better than Nigeria in one metric.
Nigeria and sub-Saharan Africa exceeded the World average in informal
borrowings. We also constructed an index of financial inclusion and found that
financial institution account ownership, formal borrowing, informal borrowing
and debit or card ownership are significant positive determinants of the
financial inclusion index. These findings indicate that policymakers in
Nigeria and sub-Saharan Africa have significant room for improving their
financial inclusion standings towards the global average. We make
recommendations on the aspects where policymakers can place their focus in
pursuit of this goal. |