Mobile Banking Usage, Quality of Growth, Inequality and Poverty in Developing Countries

Information Development, 35(2) 303–318 (March, 2019)

27 Pages Posted: 16 Nov 2017 Last revised: 5 Mar 2019

See all articles by Simplice Asongu

Simplice Asongu

African Governance and Development Institute

Nicholas M. Odhiambo

University of South Africa

Date Written: January 13, 2017

Abstract

The transition from Millennium Development Goals to Sustainable Development Goals has substantially shifted the policy debate from development to inclusive development. Using interactive quantile regressions, we examine the correlations between mobile banking and inclusive development (quality of growth, inequality and poverty) among individuals in 93 developing countries for the year 2011. Mobile banking entails: ‘mobile used to pay bills’ and ‘mobile used to receive/send money’. The findings broadly show that increasing mobile banking dynamics to certain thresholds would increase (decrease) quality of growth (inequality) in quantiles at the high-end of inclusive development distributions for the most part. The study is original in that it explores the relationship between mobile banking and inclusive development using three measurements of inclusive development, namely: quality of growth, inequality and poverty. As a main policy implication, encouraging mobile banking applications would play a substantial role in responding to the challenges of immiserizing growth, inequality and poverty in developing countries.

Keywords: Mobile banking; Quality of growth; Poverty; Inequality; Developing countries

JEL Classification: G20; O40; I10; I20; I32

Suggested Citation

Asongu, Simplice and Odhiambo, Nicholas M., Mobile Banking Usage, Quality of Growth, Inequality and Poverty in Developing Countries (January 13, 2017). Information Development, 35(2) 303–318 (March, 2019). Available at SSRN: https://ssrn.com/abstract=3070048

Simplice Asongu (Contact Author)

African Governance and Development Institute ( email )

P.O. Box 8413
Yaoundé, 8413
Cameroon

Nicholas M. Odhiambo

University of South Africa

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
29
Abstract Views
233
PlumX Metrics