Social capital, financial inclusion and human security

The paper investigates the impacts of social capital and financial inclusion on human security in Togo, examining gender and spatial disparities through the lens of pre- and post-COVID-19 shocks. Utilizing data from the Harmonized Living Standard Measure Survey for the periods 2018-2019 and 2021-2022, we use propensity score matching, difference-in-differences, mediation analysis, and instrumental variables methods to assess the causal effects of social capital, financial inclusion, and human security. The results reveal a substantial and positive impact of social capital and financial inclusion on human security, with a more pronounced effect among women. Post-COVID-19 analysis demonstrates that the interaction between social capital and financial inclusion played a moderating role in mitigating the negative impact of the pandemic shock on human security. Additionally, the analysis indicates that financial inclusion serves as a partial mediator between social capital and human security, an effect that has strengthened in the aftermath of the pandemic.