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Financial Inclusion in Ethiopia: Using LSMS (Ethiopia Socioeconomic Survey) Data

Author

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  • Desalegn, Gashaw
  • Yemataw, Gebe

Abstract

Only less than a quarter of Ethiopian adults have a formal account. In this study, the status, level and determinants of financial inclusion and barriers to financial inclusion in Ethiopia are analysed. We found that better education, financial literacy, gender, age, living in an urban area, living in the capital city, and preference for formal financial services are associated with a greater level of financial inclusion in Ethiopia. Furthermore, we found that involuntary and voluntary exclusion are higher in Ethiopia. We recommend policies that could narrow down gender, religious, and urban-rural gaps and foster financial inclusion in Ethiopia.

Suggested Citation

  • Desalegn, Gashaw & Yemataw, Gebe, 2017. "Financial Inclusion in Ethiopia: Using LSMS (Ethiopia Socioeconomic Survey) Data," Ethiopian Journal of Economics, Ethiopian Economics Association, vol. 26(01), April.
    • Handle: RePEc:ags:eeaeje:343210
    DOI: 10.22004/ag.econ.343210
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    Keywords

    Agricultural Finance;

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