Financial inclusion indicators as determinants of economic growth in selected LMI African countries

Abstract Financial inclusion indicators as determinants of economic growth in selected LMI African countries was studied using McKinnon–Shaw and financial intermediation theories. Specific objectives evaluating the effect of Commercial bank branches; and deposit accounts on rGDP. Ex-post facto research design, depended on secondary data sourced from WDI. Using descriptive statistics, correlation analysis, panel regression techniques to analyse its’ data. Coefficient of commercial bank branches is − 0.683, t-statistic − 2.852 and a p-value 0.005; and the coefficient of deposit accounts is − 0.007, t-statistic − 3.368 and a p-value 0.0009. Results showed commercial bank branches and deposit accounts had negative and statistically significant effects on economic growth proxied by rGDP growth rate in LMI African countries. Research concludes that financial inclusion contributes meaningfully to the determinants of economic growth in LMI African countries, particularly through access to credit access, savings mobilisation of savings, increased banking penetration.