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The Poverty-Reducing Effects of Financial Inclusion: Evidence from Cambodia

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  • Seng, Kimty

Abstract

This article analyses the effects of financial inclusion on poverty in terms of household income per capita in Cambodia, with data from the FinScope Survey carried out in 2015. The analysis describes the effects via financial literacy, accounting for endogenous selection bias resulting from unobserved confounders and for structural differences between users and non-users of financial services in terms of income functions. The findings suggest that the use of financial services is very likely to make a great contribution to reducing household budget deficit and poverty if the users, female in particular, have at least basic financial knowledge.

Suggested Citation

  • Seng, Kimty, 2019. "The Poverty-Reducing Effects of Financial Inclusion: Evidence from Cambodia," MPRA Paper 95726, University Library of Munich, Germany, revised 26 Aug 2019.
    • Handle: RePEc:pra:mprapa:95726
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    References listed on IDEAS

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    1. Guillermo Boitano & Deybi Franco Abanto, 2020. "Challenges of financial inclusion policies in Peru," Revista Finanzas y Politica Economica, Universidad Católica de Colombia, vol. 12(1), pages 89-117, June.

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    More about this item

    Keywords

    Poverty; financial inclusion; financial literacy; endogenous; Cambodia;
    All these keywords.

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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