Article 2025 · 1 atıf

THE MUTUAL RELATIONSHIP BETWEEN FINANCIAL INCLUSION AND EFFECTIVENESS OF MONETARY POLICY: EVIDENCE FROM UPPER-MIDDLE-INCOME COUNTRIES

Yildirim, Hakan, Ozkan, Tuba, Logun, Anil, Dogan, Mesut

Özet

Enhancing financial inclusion is crucial for achieving global objectives such as sustainable growth, improved societal welfare, and poverty reduction. Due to its importance, financial inclusion has recently become a key policy issue and a widely studied topic. This study investigates the relationship between financial inclusion and monetary policy in upper-middle-income countries using the Two-Step System GMM and Panel Granger Causality methods. The findings reveal a bidirectional negative relationship between inflation and financial inclusion. Inflation negatively affects financial inclusion, while an increase in financial inclusion has a reducing effect on inflation. Additionally, digitalization, regulatory quality, and money supply positively affect financial inclusion, while the growth of money supply and deposit interest rates increase inflation. According to Granger causality analysis, there is a causality running from financial inclusion to the inflation rate. Accordingly, policymakers in upper-middle-income countries are advised to adopt balanced monetary policies and consider that increasing financial inclusion can help mitigate the adverse effects of inflation.

Anahtar Kelimeler

Financial Inclusion Monetary Policy Dynamic Panel Data Analysis ENERGY-CONSUMPTION ECONOMIC-GROWTH INEQUALITY BANKING ACCESS IMPACT GMM

WoS Kategorileri

Business, Finance Economics

Sürdürülebilir Kalkınma Amaçları

Sanayi, Yenilikçilik ve Altyapı 10 Reduced Inequality Yoksulluğa Son İnsana Yakışır İş ve Ekonomik Büyüme

Künye

Dergi: EKONOMI POLITIKA & FINANS ARASTIRMALARI DERGISI
Yıl: 2025
Cilt: 10
Sayı: 2
Sayfa: 619-635
eISSN: 2587-151X
DOI: 10.30784/epfad.1642086
WoS UID: WOS:001540970900009

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