Remittances and Financial Inclusion: Does Financial Development Matter?
Jude Eggoh & Chrysost Bangaké
What the paper says
This study provides new evidence on the relationship between remittances and financial inclusion using generalized methods of moments (GMM) and panel threshold regressions (PTR). The sample consists of 64 developing countries over the period 2004-2017. The empirical results suggest that remittances improve financial inclusion, and the relationship between both variables is nonlinear, with respect to financial development. These findings are supported by PTR estimations, that confirm positive and significant relationship between remittances and financial inclusion below a given threshold of financial development. Beyond this threshold, remittances and financial inclusion nexus is not significant. These results have some policy implications.
7 citations
Evidence weight
Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40
| F · citation impact | 0.45 × 0.4 = 0.18 |
| M · momentum | 0.80 × 0.15 = 0.12 |
| V · venue signal | 0.50 × 0.05 = 0.03 |
| R · text relevance † | 0.50 × 0.4 = 0.20 |
† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.