scholarly journals INTEGRATED EVALUATION OF FINANCIAL INCLUSION IN UKRAINE

2021 ◽  
Vol 2 (37) ◽  
pp. 62-71
Author(s):  
L. Prymostka ◽  
I. Krasnova ◽  
O. Prymostka ◽  
V. Biloshapka ◽  
A. Lavreniuk
Keyword(s):  
Financial Literacy ◽  
Geometric Mean ◽  
Well Being ◽  
Jel Classification ◽  
Financial Inclusion ◽  
Banking Services ◽  
Logical Sequence ◽  
Banking Institutions ◽  
Professional Judgments ◽  
Selection Of

Abstract. Low level of financial literacy and coverage of the population with banking services is one of the urgent problems of Ukrainian society. Methodical approaches to a comprehensive integrated assessment of the level of financial inclusion are proposed. The key components of financial inclusion (FI) have been identified, which include: welfare, awareness, accessibility, involvement and usage. Their economic meaning, logical sequence and interconnectedness are revealed. An algorithm for evaluation is proposed, which includes successive stages: substantiation of FI components; selection of analytical indicators for each component; calculation of sub-indexes of components and their normalization; weighing sub-indexes based on professional judgments; calculation of the resulting indicator — the integrated index of financial inclusion (IFI). For each component of financial inclusion, a primary set of analytical indicators-indicators is formed, which are divided into stimulators and disincentives. For all components, their standardized value and significance factor are calculated. A «thermal» mapping of the dynamics of sub-indexes by components for 2000—2019 was carried out. It was found that the intensification of the development of non-cash payments and digital banking services contributed to the growth of the component of usage, and the reduction in the number of banking institutions led to a decrease in the level of availability of banking services. A comprehensive economic and statistical assessment of the level of financial inclusion in Ukraine has been carried out. Integral IFI is calculated as the geometric mean of individual sub-indexes. A composite map of financial inclusion of the population of Ukraine is constructed. The map clearly shows the low indicators of the basic components of financial inclusion — well-being and awareness. The directions of improvement of the methodology by expanding the list of analytical indicators are substantiated. The main problems and destructive factors that reduce the level of financial inclusion in the country are highlighted. It is substantiated that the method of assessing the level of financial inclusion is necessary for monitoring and preventive identification of possible problems.Keywords: financial inclusion, components of financial inclusion, accessibility, involvement, usage, analytical indicators, indices of financial inclusion, map of financial inclusion, integrated indicator of financial inclusion. JEL Classification: D14, E21, G02, Е27 Formulas: 3; fig.: 4; tabl.: 2; bibl.: 20.

Financial Inclusion through Financial Literacy

2022 ◽  
Vol 13 (1) ◽  
pp. 0-0
Keyword(s):  
Financial Literacy ◽  
Uttar Pradesh ◽  
Secondary Data ◽  
Financial Education ◽  
Well Being ◽  
Financial Inclusion ◽  
Financial Decisions ◽  
College Curriculum ◽  
Financial Exclusion ◽  
The Government

Financial literacy is a means to tackle the problem of financial exclusion. It is a combination of awareness, skills, knowledge, attitude and behaviors necessary to make sound financial decisions and achieve financial well being. Objective of this study is to analyze current policy, practices and evidences on financial literacy. The study has been carried out on the basis of review of literature and secondary data collected from a range of sources. It is found that the government of India, RBI and other regulatory bodies are running financial literacy campaigns through diverse mediums. Financial literacy centers (FLCs) are contributing for enhancement of financial literacy. However, they need to be strengthened by enhancing resources. Inclusion of financial education in school and college curriculum has also been recommended. Scope of the study is limited to Ghaziabad district of Uttar Pradesh in India. The study might be valuable for policymakers in enhancing financial inclusion.

scholarly journals USO DE LOS SERVICIOS FINANCIEROS. ESTUDIO EMPÍRICO EN ESTUDIANTES UNIVERSITARIOS

2017 ◽  
Vol 2 (1) ◽  
pp. 581
Author(s):  
Milka Elena Escalera-Chávez ◽  
Esmeralda Tejada-Peña ◽  
Arturo García-Santillán
Keyword(s):  
Economic Development ◽  
Empirical Study ◽  
Financial Services ◽  
Financial Inclusion ◽  
Public And Private ◽  
Banking Services ◽  
Frequency Of Use ◽  
Banking Institutions ◽  
Upper Level ◽  
Estudiantes Universitarios

Abstract.USE OF FINANCIAL SERVICES EMPIRICAL. STUDY IN UNIVERSITY STUDENTS.The financially included population has access to banking services, hence this insertion favors the economic development of the population, however there are many people who do not use formal financial services, including students. For this reason, the objective of this work was to identify the frequency with which the upper level students of Tuxtepec Oaxaca access the financial services offered by the Banking Institutions. The sample is made up of 800 upper level students who belong to 8 public and private universities in Tuxtepec Oaxaca. The frequency of use of financial services was checked by means of the test. The results show that students use the financial services offered by Banking Institutions. However, it is important to reiterate that some students do not resort to the financial system, this proportion of the population being an area of opportunity for the process of financial inclusion in Mexico.Key Words: Use, Financial Services, University Students.Resumen.La población incluida financieramente accede a los servicios bancarios, de ahí que ésta  inserción favorece el desarrollo económico de la población, sin embargo existen muchas personas que no  utilizan  los servicios financieros formales, incluyendo a los estudiantes. Por este motivo, el objetivo de este trabajo fue identificar la frecuencia con la que los estudiantes de nivel superior de Tuxtepec Oaxaca acceden a los servicios financieros que ofrece las Instituciones Bancarias. La muestra está conformada por 800 alumnos del nivel superior que pertenecen a 8 universidades públicas y privadas de Tuxtepec Oaxaca. Se  comprobó por medio de la prueba t la frecuencia del uso de los servicios financieros. Los resultados muestran que los estudiantes usan los servicios financieros que ofrecen las Instituciones Bancaria. Sin embargo, es importante reiterar que algunos estudiantes no recurren al sistema financiero, siendo esta proporción de la población un área de oportunidad para el proceso de inclusión financiera en México.Palabras Claves: Uso, Servicios Financieros, Estudiantes Universitarios.

Revisiting the measurement of financial inclusion of rural smallholder farmers in Nigeria

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Olayinka O. Adegbite ◽  
Charles L. Machethe ◽  
C. Leigh Anderson
Keyword(s):  
Financial Literacy ◽  
Smallholder Farmers ◽  
Household Survey ◽  
Well Being ◽  
Sampling Procedure ◽  
Financial Inclusion ◽  
Policy Recommendations ◽  
Financial Capability ◽  
Content Type ◽  
Consultative Group

PurposeThis study aims to develop and apply a multidimensional measure of financial inclusion (FI) to address measurement issues and determine the level of FI of rural smallholder farmers and the contribution of domain indicators to the level of FI in Nigeria.Design/methodology/approachThe paper adapts the Alkire–Foster method to develop a multidimensional FI index (MFII). A stratified two-stage sampling procedure is used to select 2,300 rural respondents from the 2016 Consultative Group to Assist the Poor (CGAP) Smallholder Household Survey.FindingsResults indicate that 78% of rural smallholder farmers in Nigeria are financially excluded. In addition, owning a formal account is significantly different (p < 0.00) from being financially adequate. The financial capability domain contributes the least (29.66%) to the multidimensional FI (MFI) of rural smallholder farmers relative to financial participation and financial well-being. Financial literacy, consumer protection, overcoming barriers such as high transaction costs and financial planning indicators contribute the least to FI relative to formal access.Practical implicationsResults of the study lead to policy recommendations for increasing the FI of rural smallholder farmers in Nigeria, which may be applicable to other countries.Social implicationsAchieving sustainable FI requires that interventions increase the FI of rural smallholder farmers by strengthening financial capability, participation and well-being and not only focus on formal account owners.Originality/valueThe study provides a new methodological and empirical contribution to the FI literature on rural smallholder farmers.

Financial Inclusion and Quality of Life: Empirical Evidences from Indian States with Special Reference to West Bengal

2021 ◽  
pp. 0258042X2110261
Author(s):  
Avisek Sen ◽  
Arindam Laha
Keyword(s):  
Quality Of Life ◽  
Human Development ◽  
Financial Literacy ◽  
Financial Services ◽  
West Bengal ◽  
Well Being ◽  
Financial Inclusion ◽  
Indian States ◽  
The Relationship

The conceptual connection between financial inclusion and quality of life (QOL) can be realized by a two-way relationships. On the one hand, financial inclusion induces QOL, while an improvement in QOL facilitates in generating demand for financial services, on the other hand. Even though several studies seek to find out the role of finance in the well-being of the population (especially human development), this article concentrates on QOL to eliminate the financial attributes of development (as captured by income dimension in Human Development Index). In this sense, this study addresses the research gap in the existing literature by establishing the relationship between financial inclusion and QOL. Specifically, the article attempts to explain the two-way tie-up between the financial inclusion and the QOL in India in the context of Indian states, in general, and West Bengal, in particular. Canonical correlation (CC; a multivariate data analysis technique) is used to estimate the relation between the financial inclusion and QOL. Empirical results suggest that western and the southern Indian states excel in the attainment of education, health and other amenities-based indicators of QOL. The conditions of the eastern part of the country in case of financial inclusion and the QOL are not at all satisfactory. In case of West Bengal, Kolkata being the state capital is performing well in both the factors. CC results suggest a significant association between the financial inclusion and QOL across Indian states. The deposit account of financial inclusion indicator and the infant survival rate of QOL indicator are playing a pivotal role in the relationship (both the Indian states and districts of West Bengal as well). This article establishes the effectiveness of the demand following approach of financial inclusion than that of supply leading approach. As the demand-side aspect of financial inclusion is becoming more important to the policymakers, the next policy priority of financial inclusion measures could be the generation of awareness on the financial services through financial literacy. JEL Codes: G2, O15, C39

scholarly journals APPLICATION OF THE INTEGRAL METHOD IN THE BANK’S FINANCIAL SECURITY SYSTEM

2021 ◽  
pp. 56-66
Author(s):  
Oleg Georgievich Blazhevich ◽  
Aleksandr Petrovich Bondar
Keyword(s):  
Integral Method ◽  
Economic Security ◽  
Security System ◽  
Financial Security ◽  
Credit Institution ◽  
Banking Services ◽  
Logical Sequence ◽  
Banking Institutions ◽  
Methodological Aspects

The essential approaches to the content of the financial security of the bank are considered and it was noted that the determination of the essence of the financial security of the bank can be carried out in the following logical sequence: bank security; economic security of the bank; financial security of the bank. Important attention is focused on the elements of the bank’s financial security system. It was noted that the system for ensuring the financial security of a credit institution is a combination of elements that allow a bank to be a reliable, competitive participant in the banking services market. The methodological aspects of using the integral method in the system of ensuring the financial security of a bank are presented. The assessment of the financial security of JSC » JSB» RUSSIA» was carried out on the basis of the integral method. As a result, it was revealed that the financial security of JSC » JSB» RUSSIA» is at a satisfactory level, which allows the bank and its clients to look confidently into the future, but the management of the credit institution must constantly pay attention to controlling emerging risks and conduct more efficient work in the competitive struggle in the market banking services in the Russian Federation. The problematic aspects of ensuring the financial security of the bank were identified. The proposed integral indicator makes it possible to obtain a comprehensive assessment of the financial security of a bank, which will increase the efficiency of financial security management of banking institutions

Banking or Under-banking: Spatial Role of Financial Inclusion and Exclusion

2021 ◽  
pp. 097300522110371
Author(s):  
Rajat Singh Yadav ◽  
Kalluru Siva Reddy
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Social Inclusion ◽  
Probit Model ◽  
Financial Inclusion ◽  
Spatial Density ◽  
Bank Account ◽  
Banking Services ◽  
Economic Agents

Access to bank account is only a part of the problem when we talk of financial inclusion because several people with a bank account are not necessarily using them to deposit their savings or carry out transactions. This article makes an attempt to examine the reasons for low utilisation of banking facilities. It employs financial inclusion insights (FII) data for Indian population to find out an outcome of financial inclusion (and thus social inclusion as well) based on the usage of banking services with covariates like financial literacy, the probability that any financial service is accessible to the respondent in terms distance, type of mobile phone and spatial density. We use truncated probit model to measure the incidence of under-banking. Our findings show that there is a negative association between supply-side constraints and usage of banking services, implying that low access to financial services in time and space stands as a hindrance to financial inclusion. Further, we find from the financial inclusion and exclusion map at the district level that even though economic agents intend to participate in the space in which he/she is living is not much inclusive.

Thoughts of Rural Development through Developing Financial Skills

2016 ◽  
Vol 2 (2) ◽  
Author(s):  
Vivek Kumar
Keyword(s):  
Financial Crisis ◽  
Financial Literacy ◽  
Financial Stability ◽  
Well Being ◽  
Financial Inclusion ◽  
Money Management ◽  
Extensive Literature ◽  
Community Interest ◽  
Wide Range ◽  
Financial Awareness

The issue of financial literacy is of greater concern in developed countries than the developing nations. Financial literacy gained far more importance after the financial distresses and become the pre-requisite with the objective to avoid financial crisis by attaining financial stability. In recent years, financial literacy has gained the attention of a wide range of major banking companies, government agencies, grass-roots consumer and community interest groups, and other organizations. Interested groups, including policymakers, are concerned that consumers residing in rural India lack a working knowledge of financial concepts and do not have the tools they need to make decisions most advantageous to their economic wellbeing. Such financial literacy deficiencies can affect an individual's or family's day-to-day money management and ability to save for long-term goals such as buying a home, seeking higher education, or financing retirement of rural people. Ineffective money management can also result in behaviours that make consumers vulnerable to severe financial crisis. This paper tries to explore all those major concepts and measures which can be extremely helpful in the developing not only the rural living of standard but also the mindset of common people. We can also see the extensive literature in this area which will be ultimately helpful for knowing the current phenomenon.Success in expansion of financial awareness as a part of financial literacy among individuals ensures the prevalence of financial well being and much required financial inclusion. Apex regulatory bodies in India are trying to achieve utmost level of financial inclusion. It cannot be attained without the basic requirement of Financial awareness and Literacy among common individuals.

Nexus between financial inclusion and economic growth

2016 ◽  
Vol 8 (1) ◽  
pp. 13-36 ◽  
Author(s):  
Dipasha Sharma
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Granger Causality ◽  
Developing Economies ◽  
Research Question ◽  
Financial Inclusion ◽  
Banking Services ◽  
Content Type ◽  
Indian Economy ◽  
Banking Institutions

Purpose The purpose of this study is to assess the nexus between the vast dimensions of financial inclusion and economic development of the emerging Indian economy. Design/methodology/approach In this study, vector auto-regression (VAR) models and Granger causality test were followed to test the main research question in Indian context. The data were collected on various dimensions of financial inclusion and economic development for the period 2004-2013. Findings Empirical results and discussion suggest that there is a positive association between economic growth and various dimensions of financial inclusion, specifically banking penetration, availability of banking services and usage of banking services in terms of deposits. Granger causality analysis reveals a bi-directional causality between geographic outreach and economic development and a unidirectional causality between the number of deposits/loan accounts and gross domestic product. The results obtained favor social banking experiments in India with a deepening of banking institutions. Research limitations/implications This study is limited to the banking institutions and specifically to the emerging and developing economies. Practical implications This study analyzes the quantitative value of social banking experiments and governments’ efforts to enhance financial inclusion in terms of economic growth. Social implications Financial inclusion plays a key role in developing a strong and an efficient financial infrastructure, which facilitates the growth of an economy. The findings of the study reveal that there is a strong association between banking penetration and growth. The discussion leads in the favor of deepening of the banking institutions, and therefore, policymakers can look forward to these findings to maintain a sustainable-inclusive-developed economic system in an emerging economy like India. Originality/value This study is original in nature and includes recent evidence and efforts to promote financial inclusion in the Indian economy. The findings of this study will be of value to banks and policymakers.

scholarly journals Tingkat Islamic Financial Literacy dan Penggunaan Fintech Terhadap Financial Inclusion UMKM Kawasan Pondok Pesantren di Kota Jombang

2020 ◽  
Vol 5 (2) ◽  
pp. 127
Author(s):  
Lik - Anah
Keyword(s):  
Financial Literacy ◽  
Financial Services ◽  
Linear Regression Analysis ◽  
Sampling Technique ◽  
Boarding School ◽  
Multiple Linear Regression Analysis ◽  
Financial Inclusion ◽  
Banking Services ◽  
Financial Transactions

The UMKM in Islamic Boarding School area continue to experience an increase in financial transactions in line with the increase in banking financial services, especially Islamic banking financial services, for example: BPRS, Syariah Bank, BMT and Micro Waqf Banks which are located around the area. The purpose of this study is to find out the level of Islamic financial literacy and the use of Fintech of UMKM in the Islamic boarding school area in Jombang. This is based on the data that the number of research is included in associative research with purposive sampling technique of all UMKM which are located in the Islamic boarding school area in Jombang, with the criteria of UMKM which have used Fintech services and banking services as the requirement in the area of financial inclusion. The method used in this research is multiple linear regression analysis which is strengthened by qualitative analysis to find out the quality of financial inclusion. The results showed that Islamic financial literacy has a positive and significant effect on financial inclusion. The use of Fintech has a positive and significant effect on UMKM financial inclusion. Islamic financial literacy and the use of Fintech have a positive and significant effect on the financial inclusion of UMKM in the Islamic boarding school area in Jombang city.

Determinants of Personal Financial Literacy among Young Adults in Malaysian Accounting Firms

2019 ◽  
Vol 7 (1) ◽  
pp. 8-19
Author(s):  
Aik Myin Loh ◽  
Kwee Kim Peong ◽  
Kwee Peng Peong
Keyword(s):  
Young Adults ◽  
Financial Literacy ◽  
Pearson Correlation ◽  
Geographical Location ◽  
Financial Education ◽  
Well Being ◽  
Jel Classification ◽  
Family Characteristics ◽  
Financial Knowledge ◽  
Accounting Firms

Objective - In the twenty-first century, financial competencies are an essential tool in understanding the connection between financial behaviour and knowledge of individual financial problems. High financial knowledge may encourage young adults to carry less debt, increase their wealth and have a better financial retirement plan. According to Wolla (2017), less than one-third of youths have basic financial knowledge. This will have an impact to their lifelong financial well-being. Hence, this research intends to explore the personal financial literacy of young adults in Malaysian accounting firms. Methodology/Technique – The study examines 150 young working adults between the ages of 18-35 years old, working in accounting firms in Malacca, Malaysia. Stratified sampling and convenience sampling techniques were used to distribute questionnaires. Descriptive statistics, Pearson correlation coefficient and multiple regression analyses were also employed. Findings - The empirical findings show that geographical locations and family characteristics are significantly related to the personal financial literacy of young adults in accounting firms in Malacca. However, financial education and financial experience do not influence young adults in their financial decision making. Novelty – The results of this study suggest that the relevant authority should take an appropriate action to improve the financial well-being of young adults in Malacca, Malaysia. Type of Paper: Empirical. JEL Classification: M40, M41, M49 Keywords: Financial Literacy; Financial Education; Financial Experience; Family Characteristics; Geographical Location.

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