Digital finance, the Covid-19 effect, and the multidimensional aspects of disparities in financial inclusion

Despite advancements, persistent barriers to financial serDespite advancements, persistent barriers to financial services continue to contribute to disparities in financial inclusion among developing countries. Undoubtedly, the shock induced by the Covid-19 crisis markedly influenced household behavior in terms of both adopting and utilizing digital financial services. This study explores the potential of digital finance to bridge the inclusion gaps in West Africa Economic and Monetary Union countries. Utilizing the World Bank Global Findex data from 2017 and 2021, along with heteroscedastic binary choice and double-difference methodologies, this study assesses the impact of digital finance across various demographics, including gender, age, income, geographical location and the Covid-19 effect. The initial results indicate a notable improvement in rural financial inclusion attributable to digital finance, which is marked by enhanced access and usage. However, gender-related outcomes have presented mixed findings, varying by country and year. A second category of findings reveals that, despite a general decline in average financial inclusion between 2017 and 2021, this trend was counterbalanced by the escalated adoption of mobile and digital financial services, a development largely attributed to the impact of Covid-19. These insights suggest policy recommendations centered on expanding mobile and Internet infrastructure and fostering digital identity and interoperability.vices continue to contribute to disparities in financial inclusion among developing countries. Undoubtedly, the shock induced by the Covid-19 crisis markedly influenced household behavior in terms of both adopting and utilizing digital financial services. This study explores the potential of digital finance to bridge the inclusion gaps in West Africa Economic and Monetary Union countries. Utilizing the World Bank Global Findex data from 2017 and 2021, along with heteroscedastic binary choice and double-difference methodologies, this study assesses the impact of digital finance across various demographics, including gender, age, income, geographical location and the Covid-19 effect. The initial results indicate a notable improvement in rural financial inclusion attributable to digital finance, which is marked by enhanced access and usage. However, gender-related outcomes have presented mixed findings, varying by country and year. A second category of findings reveals that, despite a general decline in average financial inclusion between 2017 and 2021, this trend was counterbalanced by the escalated adoption of mobile and digital financial services, a development largely attributed to the impact of Covid-19. These insights suggest policy recommendations centered on expanding mobile and Internet infrastructure and fostering digital identity and interoperability.尽管金融服务领域已取得诸多进展，但发展中国家的金融普惠差距仍因长期存在的各类壁垒而持续存在。毋庸置疑，新冠疫情危机引发的冲击，显著影响了家庭在采纳与使用数字金融服务方面的行为模式。本研究旨在探究数字金融弥合西非经济货币联盟（West Africa Economic and Monetary Union）成员国金融普惠差距的潜力。本研究采用世界银行2017年与2021年的全球普惠金融数据库（Global Findex）数据，并结合异方差二元选择模型（heteroscedastic binary choice）与双重差分法（double-difference），评估了数字金融在不同人口统计维度（包括性别、年龄、收入水平、地理位置）以及新冠疫情影响下的作用效果。初步研究结果显示，数字金融显著推动了农村地区金融普惠水平的提升，具体表现为金融服务可得性与使用频率的提高。但与性别相关的研究结果则呈现出分化态势，因国家与年份的不同而存在差异。第二类研究结果表明，尽管2017年至2021年间整体平均金融普惠水平有所下降，但移动与数字金融服务普及率的提升抵消了这一趋势，而这一变化很大程度上可归因于新冠疫情的影响。基于上述研究结论，本研究提出了相关政策建议，核心在于扩大移动与互联网基础设施建设，并推动数字身份体系建设与互操作性提升。