Volume 32, Issue 4, May 2021, Pages 485–493
Rony Kumar Datta1
1 Department of Finance and Banking, Hajee Mohammad Danesh Science and Technology University, Dinajpur, Bangladesh
Original language: English
Copyright © 2021 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Financial Inclusion has recognized as a new exemplar in reducing poverty and accelerating economic growth in the developing countries like Bangladesh. The aim of this study is to examine the relationship as well as the impact of financial inclusion on Gross Domestic Product (GDP) of Bangladesh economy. Secondary data of twenty years from the banking industry of Bangladesh has been employed and empirical data was analyzed using multiple regression model. Findings of the study indicated that bank branches and active mobile money accounts which are used in this study as the proxies of financial inclusion have a positive and statistically significant relationship with GDP, whereas the other proxy variable advance-deposit ratio has a positive but statistically insignificant relationship with GDP. The results of this research will be helpful for the mobile Banking service providers, banks, central bank, policy makers, regulators, Government, industry players and development agencies in formulating policies and taking necessary steps for the sustainable development of financial inclusion and economy at large.
Author Keywords: Financial Inclusion, GDP, Bank Branch, Mobile Money Accounts, Advance-Deposit Ratio, Bangladesh.
Rony Kumar Datta1
1 Department of Finance and Banking, Hajee Mohammad Danesh Science and Technology University, Dinajpur, Bangladesh
Original language: English
Copyright © 2021 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Abstract
Financial Inclusion has recognized as a new exemplar in reducing poverty and accelerating economic growth in the developing countries like Bangladesh. The aim of this study is to examine the relationship as well as the impact of financial inclusion on Gross Domestic Product (GDP) of Bangladesh economy. Secondary data of twenty years from the banking industry of Bangladesh has been employed and empirical data was analyzed using multiple regression model. Findings of the study indicated that bank branches and active mobile money accounts which are used in this study as the proxies of financial inclusion have a positive and statistically significant relationship with GDP, whereas the other proxy variable advance-deposit ratio has a positive but statistically insignificant relationship with GDP. The results of this research will be helpful for the mobile Banking service providers, banks, central bank, policy makers, regulators, Government, industry players and development agencies in formulating policies and taking necessary steps for the sustainable development of financial inclusion and economy at large.
Author Keywords: Financial Inclusion, GDP, Bank Branch, Mobile Money Accounts, Advance-Deposit Ratio, Bangladesh.
How to Cite this Article
Rony Kumar Datta, “Relationship between Financial Inclusion and GDP of Bangladesh,” International Journal of Innovation and Applied Studies, vol. 32, no. 4, pp. 485–493, May 2021.
