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Towards Inclusive Financial Development for Achieving the MDGs in Asia and the Pacific

Author

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  • Kunal Sen

    (Professor of Development Economics and Policy at IDPM, School of Environment and Development, University of Manchester, United Kingdom.)

Abstract

Financial development enhances domestic resource mobilisation and also allows these resources to the most productive uses. While there is little doubt that financial development leads to higher economic growth which may then lead to poverty reduction, financial development in itself will allow developing countries to achieve the Millennium Development Goals (MDGs). We will argue in the paper that a more relevant dimension of financial development that is important for the achievement of the MDGs is inclusiveness of the financial system. We will develop concepts and measures of inclusive financial development and show that measures of inclusive financial development are positively correlated with progress towards the attainment of MDGs. We will also present evidence of how inclusive financial development can contribute to reaching the MDGs. Finally, we will discuss some analytical principles and issues relating to inclusiveness in financial development.

Suggested Citation

  • Kunal Sen, "undated". "Towards Inclusive Financial Development for Achieving the MDGs in Asia and the Pacific," MPDD Working Paper Series WP/10/07, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP).
    • Handle: RePEc:unt:wpmpdd:wp/10/07
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    References listed on IDEAS

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    2. Aishwarya Nagpal & Megha Jain & Abhay Jain, 2020. "Determining the role of digital technology, governance and institutions in advancing financial inclusion in BRICS nations using probit regression analysis," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 22(2), pages 443-459, December.

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