IDEAS home Printed from https://ideas.repec.org/a/bcp/journl/v7y2023i9p1112-1118.html
   My bibliography  Save this article

Essentials of Guidance Services in Promoting Financial Inclusion and Islamic Banking Products and Services Utilisation in Nigeria

Author

Listed:
  • Dr. Isa Ado Abubakar

    (Department of Education, Bayero University, Kano, Nigeria)

  • Dr. Kabiru Adamu Kiyawa

    (Department of Islamic Banking & Finance, Al-Madina International University, Malaysia)

Abstract

Nigeria is one of the Sub Saharan countries with an estimated population of 200 million people (World Bank, 2019). Out of the figure about 97.485 million have active account representing 48.74% which increased to 111.54 million in 2020 (NBS, 2020) indicating an increase of 14.41%. This indicates that 63.15% of Nigerians possess active account, have access to loans and financial services which is still below despites lunching of the National Financial Inclusion Strategy (NFIS) that is aimed at reducing the number of Nigerians who do not have access to any formal or informal financial services from 46.3 percent in 2010 to at least 20 percent by 2020 (Central Bank of Nigeria, 2012). Achieving the milestone will enable substantial number of bankable adults to have access to financial services thereby reducing incidence of poverty. The introduction of Islamic Banking system which offers variety of products and services boosted the effort of the financial authority. The development helps substantial number of bankable adults the opportunity to have a formal account, formal saving and access to loans and other financial services. However, despites the efforts, more need to be done in order to meet the target of 20% financially excluded population. It is in the light of that, the paper examines the relevance of guidance services in promoting financial inclusion and utilization of Islamic banking products and services among the bankable adults Nigerians. Guidance being progressive in nature, it is use to assist individuals to understand, accept and make use of skills available, abilities, aptitude, interest and attitudinal pattern in relation to aspiration, thus through guidance in an appropriate manner, individual can be able to achieve desired goals. It is therefore concluded that guidance services have capacity to promote financial inclusion and utilization of existing products and services being offered by Islamic banks. It is also recommended that guidance services should be explored as mechanisms for reducing the financially excluded Nigerians.

Suggested Citation

  • Dr. Isa Ado Abubakar & Dr. Kabiru Adamu Kiyawa, 2023. "Essentials of Guidance Services in Promoting Financial Inclusion and Islamic Banking Products and Services Utilisation in Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(9), pages 1112-1118, September.
    • Handle: RePEc:bcp:journl:v:7:y:2023:i:9:p:1112-1118
    as

    Download full text from publisher

    File URL: https://www.rsisinternational.org/journals/ijriss/Digital-Library/volume-7-issue-9/1112-1118.pdf
    Download Restriction: no
    File URL: https://www.rsisinternational.org/journals/ijriss/articles/essentials-of-guidance-services-in-promoting-financial-inclusion-and-islamic-banking-products-and-services-utilisation-in-nigeria/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Sami Ben Naceur & Adolfo Barajas & Alexander Massara, 2017. "Can Islamic banking increase financial inclusion?," Chapters, in: M. Kabir Hassan (ed.), Handbook of Empirical Research on Islam and Economic Life, chapter 9, pages 213-252, Edward Elgar Publishing.
    2. Alfred Hannig & Stefan Jansen, 2010. "Financial Inclusion and Financial Stability : Current Policy Issues," Finance Working Papers 23124, East Asian Bureau of Economic Research.
    3. Asma Abdul Rehman & Omar Masood, 2012. "Why do customers patronize Islamic banks? A case study of Pakistan," Qualitative Research in Financial Markets, Emerald Group Publishing Limited, vol. 4(2/3), pages 130-141, August.
    4. Francisco Palací & Alejandro Salcedo & Gabriela Topa, 2019. "Cognitive and Affective Antecedents of Consumers’ Satisfaction: A Systematic Review of Two Research Approaches," Sustainability, MDPI, vol. 11(2), pages 1-26, January.
    5. Hannig, Alfred & Jansen, Stefan, 2010. "Financial Inclusion and Financial Stability: Current Policy Issues," ADBI Working Papers 259, Asian Development Bank Institute.
    6. Farhad F. Ghannadian & Gautam Goswami, 2004. "Developing economy banking: the case of Islamic banks," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 31(8), pages 740-752, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Xiaowen Xie, 2023. "Analyzing the Impact of Digital Inclusive Finance on Poverty Reduction: A Study Based on System GMM in China," Sustainability, MDPI, vol. 15(18), pages 1-20, September.
    2. Widarwati Estu & Sari Pindykurnia & Nurmalasari Nunik, 2019. "Role of Financial Inclusion to Stability: The Case of Indonesia’s Sharia Banking," HOLISTICA – Journal of Business and Public Administration, Sciendo, vol. 10(1), pages 7-15, April.
    3. Gallego-Losada, María-Jesús & Montero-Navarro, Antonio & García-Abajo, Elisa & Gallego-Losada, Rocío, 2023. "Digital financial inclusion. Visualizing the academic literature," Research in International Business and Finance, Elsevier, vol. 64(C).
    4. Ren, Yi-Shuai & Ma, Chao-Qun & Chen, Xun-Qi & Lei, Yu-Tian & Wang, Yi-Ran, 2023. "Sustainable finance and blockchain: A systematic review and research agenda," Research in International Business and Finance, Elsevier, vol. 64(C).
    5. Mohapatra, Malaya Ranjan & Moirangthem, Nirmalkumar Singh & Vishwakarma, Pankaj, 2020. "Mobile Banking Adoption Among Rural Consumers: Evidence from India," American Business Review, Pompea College of Business, University of New Haven, vol. 23(2), pages 300-315, November.
    6. Nenubari John Ikue & John Sodipo & Samuel Zeb-Omoni & Onyinyechi Uche & Linus Enegesi & Ernest Taenyi & Edwin Ekuase & Mtomabari Simeon & Boma Alalibo, 2021. "Mobile money operations, financial inclusion and Socioeconomic factors in the Niger-Delta Region of Nigeria," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 10(5), pages 224-234, July.
    7. Khou, Vouthy. & Cheng, Oudom. & Leng, Soklong. & Meng, Channarith., 2015. "Role of the Central Bank in supporting economic diversification and productive employment in Cambodia," ILO Working Papers 994878923402676, International Labour Organization.
    8. Ofeimun, Godwin O, 2020. "Effect Of Microfinance Banks’ Financial Inclusion Strategies On Economic Growth Of Nigeria (2009-2018)," Noble International Journal of Economics and Financial Research, Noble Academic Publsiher, vol. 5(1), pages 14-23, January.
    9. Damane, Moeti & Ho, Sin-Yu, 2024. "Effects of financial inclusion on financial stability: evidence from ssa countries," MPRA Paper 120238, University Library of Munich, Germany.
    10. Yussif Issaka Jajah & Ebenezer B. Anarfo & Felix K. Aveh, 2022. "Financial inclusion and bank profitability in Sub‐Saharan Africa," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 27(1), pages 32-44, January.
    11. Peter J. Morgan & Victor Pontines, 2018. "Financial Stability And Financial Inclusion: The Case Of Sme Lending," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 63(01), pages 111-124, March.
    12. Weidong Chen & Xiaohui Yuan, 2021. "Financial inclusion in China: an overview," Frontiers of Business Research in China, Springer, vol. 15(1), pages 1-21, December.
    13. Amit Pandey & Ravi Kiran & Rakesh Kumar Sharma, 2023. "Investigating the Determinants of Financial Inclusion in BRICS Economies: Panel Data Analysis Using Fixed-Effect and Cross-Section Random Effect," Sustainability, MDPI, vol. 15(2), pages 1-21, January.
    14. Marc Audi & Chan Bibi & Khalil Ahmad, 2019. "Financial Inclusion, Economic Growth and Human Well-Being Nexus: Empirics from Pakistan, India, China, Sri-Lanka, Bangladesh and Malaysia," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 8(4), pages 177-190, December.
    15. Aurazo, Jose & Vega, Milton, 2021. "Why people use digital payments: Evidence from micro data in Peru," Latin American Journal of Central Banking (previously Monetaria), Elsevier, vol. 2(4).
    16. Barine Michael Nwidobie, 2019. "Financial Inclusion Index in Nigeria: An Exploratory Analysis," International Journal of Publication and Social Studies, Asian Economic and Social Society, vol. 4(1), pages 26-36, March.
    17. Lee, Chien-Chiang & Chen, Pei-Fen & Chu, Pin-Jie, 2023. "Green recovery through financial inclusion of mobile payment: A study of low- and middle-income Asian countries," Economic Analysis and Policy, Elsevier, vol. 77(C), pages 729-747.
    18. Damane, Moeti & Ho, Sin-Yu, 2024. "The impact of financial inclusion on financial stability: review of theories and international evidence," MPRA Paper 120369, University Library of Munich, Germany.
    19. Dante B Canlas & Johnny Noe E Ravalo & Eli M Remolona, 2018. "Do small bank deposits run more than large ones? Three event studies of contagion and financial inclusion," BIS Working Papers 724, Bank for International Settlements.
    20. Han, Rui & Melecky, Martin, 2017. "Broader use of saving products among people can make deposit funding of the banking system more resilient," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 47(C), pages 89-102.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bcp:journl:v:7:y:2023:i:9:p:1112-1118. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dr. Pawan Verma (email available below). General contact details of provider: https://rsisinternational.org/journals/ijriss/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.