The Interrelationship Between Financial Inclusion, Financial Stability, Financial Integrity and Consumer Protection (I-SIP Theory)

Abstract

The research aimed to study the inter-relationship between financial inclusion, financial stability, financial integrity, and consumer protection (I-SIP theory) through a conceptual framework that clarifies each of these variables and how they can be measured and clarifies the link between financial inclusion, financial stability, financial integrity, and consumer protection. The role of the Central Bank of Egypt In promoting financial inclusion. Since 2010, the G20 and the World Bank have led the initiative to increase financial inclusion in developing countries to help reduce poverty levels in developing and emerging economies (GPFI, 2010). Financial inclusion enhances financial stability and contributes to economic growth and financial efficiency, regardless of the social aspect to improve the living conditions of clients, especially the poor. Many countries have included financial inclusion as an objective of their national strategy. These developments pose significant challenges for financial regulators, which were to consider how to make financial inclusion can be aligned with the strategic objective and three other generally recognized goals: financial stability, financial integrity and financial consumer protection. Recent studies tend to attempt to achieve the optimum correlation between the four goals mentioned above by achieving the highest degree of synergies and the fewest trade-offs. Known as the Integrated Financial Inclusion Framework, it is called "I-SIP Theory". I-SIP theory can be maximized in order to arrive at a stable financial sector with a high degree of integrity and concern for the protection and integrity of clients' rights.

Keywords: I-SIP Theory, Financial Inclusion, Financial Stability, Financial Integrity, Consumer Protection