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The impact of digital and financial inclusion on sustainable poverty alleviation in Sub-Saharan Africa
Journal article   Open access

The impact of digital and financial inclusion on sustainable poverty alleviation in Sub-Saharan Africa

Busola Simon-Ilogho and Tankiso Moloi
Journal of Sustainability Research, Vol.8(2), e260037
01/06/2026
Handle:
https://hdl.handle.net/10210/519880

Abstract

poverty alleviation banking institutions digital inclusion
Poverty remains a critical challenge in sub-Saharan Africa that continually demands innovative solutions. This paper examined the impact of financial and digital inclusion on the poverty rate in sub-Saharan Africa, covering data from the year 2000 to 2023. It combined financial inclusion variables (automated teller machine availability and mobile money) with digital-based inclusion variables (mobile subscription and internet accessibility) to assess their moderating impact on poverty rate. The Systems Generalised Method of Moments models were employed for analysis. Key findings from the study show that neither automated teller machine availability nor mobile money usage significantly reduce poverty rates. However, mobile subscriptions alone show a negative impact on poverty in all examinations. The findings also demonstrate that digital inclusion (via the internet and mobile access) does not moderate the relationship between financial inclusion and poverty alleviation. Policy makers, management, and stakeholders (that make key decisions) could consider investing in increasing mobile subscription (especially smart devices), as evidence shows that it is relevant in the increasingly digitalised society and it has contributed to reducing the rate of poverty.
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Open Access CC BY V4.0
url
https://doi.org/10.20900/jsr20260037View
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