Bolstering the Impact of Financial Inclusion on the Performance of Selected Deposit Money Banks in Nigeria
No Thumbnail Available
Date
Journal Title
Journal ISSN
Volume Title
Publisher
http://www.journal-innovations.com
Abstract
Description
This study investigates the impact of financial inclusion on the financial
performance of deposit money banks in Nigeria. The problem statement arises from
the need to understand how various dimensions of financial inclusion, including
loans to customers, deposits, bank branches, mobile banking, and agency banking,
influence the returns on assets (ROA) of deposit money banks in Nigeria. Drawing
on theories of financial intermediation and inclusive growth, the research adopts a
quantitative approach, employing panel EGLS regression analysis to analyze data
collected from ten deposit money banks over an eleven-year period (2011-2022).
The findings reveal significant positive relationships between loans to customers,
deposits, bank branches, mobile banking, agency banking, and ROA, highlighting
the importance of financial inclusion in enhancing the performance of deposit
money banks. The study concludes that fostering financial inclusion through
targeted policies and initiatives can contribute to the resilience, stability, and
sustainability of the banking sector in Nigeria. The implications underscore the
importance of promoting inclusive financial systems to foster economic growth,
reduce poverty, and enhance social welfare. As a recommendation, policymakers
should prioritize measures aimed at expanding access to financial services,
leveraging technology, enhancing financial literacy, and strengthening regulatory
frameworks to facilitate greater financial inclusion and deepen the impact on the
broader economy.
Keywords
HF Commerce, HJ Public Finance