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Financial Inclusion and Its Ripple Effects on Socio-Economic Development: A Comprehensive Review

Author

Listed:
  • Deepak Mishra

    (School of Business, UPES, Dehradun 248007, India)

  • Vinay Kandpal

    (Department of Management Studies, Graphic Era Deemed to Be University, Dehradun 248002, India
    Graduate Program in Business Administration, Paulista University, UNIP, São Paulo 04026-002, Brazil)

  • Naveen Agarwal

    (Centre for Continuing Education (UPESON), UPES, Dehradun 248007, India)

  • Barun Srivastava

    (School of Business, UPES, Dehradun 248007, India
    School of Commerce, Graphic Era Hill University, Dehradun 248002, India)

Abstract

This study provides an overview of the different dimensions of financial inclusion, its socioeconomic impacts on society’s sustainable development, and future research agendas. Initially, 620 studies were identified using Scopus and other databases, employing keywords such as financial literacy, financial inclusion, financial capability, women’s empowerment, fintech, artificial intelligence, financial accessibility, sustainable development goals, and economic growth. After refinement based on focus and relevance, 325 papers were analyzed in detail for review, primarily focused on India and emerging economies. This review highlights that access to finance by untouched segments of society is essential for sustainable and socio-economic development in developing economies. The official banking system, an effort by the government to assist the financially disadvantaged, can incorporate the impoverished into a formal financial system through campaigns and credit system reforms. Socioeconomic programs reinforce one another and foster the development of children, women, families, and society. This research paper undertakes a systematic literature review primarily focused on relevant articles in broad areas of financial inclusion and its impact analysis and offers a valuable agenda for future research.

Suggested Citation

  • Deepak Mishra & Vinay Kandpal & Naveen Agarwal & Barun Srivastava, 2024. "Financial Inclusion and Its Ripple Effects on Socio-Economic Development: A Comprehensive Review," JRFM, MDPI, vol. 17(3), pages 1-20, March.
    • Handle: RePEc:gam:jjrfmx:v:17:y:2024:i:3:p:105-:d:1350582
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    References listed on IDEAS

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    1. Cyn-Young Park & Rogelio Mercado, 2018. "Financial Inclusion, Poverty, And Income Inequality," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 63(01), pages 185-206, March.
    2. Kass-Hanna, Josephine & Lyons, Angela C. & Liu, Fan, 2022. "Building financial resilience through financial and digital literacy in South Asia and Sub-Saharan Africa," Emerging Markets Review, Elsevier, vol. 51(PA).
    3. Kim, Dai-Won & Yu, Jung-Suk & Hassan, M. Kabir, 2018. "Financial inclusion and economic growth in OIC countries," Research in International Business and Finance, Elsevier, vol. 43(C), pages 1-14.
    4. Dipasha Sharma & Sonali Bhattacharya & Shagun Thukral, 2018. "Assessment of financial inclusive policy in Indian economy," International Journal of Ethics and Systems, Emerald Group Publishing Limited, vol. 34(3), pages 304-320, August.
    5. Gutiérrez-Nieto, Begoña & Serrano-Cinca, Carlos, 2019. "20 years of research in microfinance: An information management approach," International Journal of Information Management, Elsevier, vol. 47(C), pages 183-197.
    6. Levine, Ross, 2005. "Finance and Growth: Theory and Evidence," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 12, pages 865-934, Elsevier.
    7. Xi, Haomeng & Wang, Jizhou, 2024. "Social governance, family happiness, and financial inclusion," Finance Research Letters, Elsevier, vol. 61(C).
    8. Isaac Koomson & Renato A. Villano & David Hadley, 2020. "Intensifying financial inclusion through the provision of financial literacy training: a gendered perspective," Applied Economics, Taylor & Francis Journals, vol. 52(4), pages 375-387, January.
    9. repec:eme:ijoes0:ijoes-11-2017-0211 is not listed on IDEAS
    10. Payam Hanafizadeh & Ahad Zare Ravasan, 2018. "A model for selecting IT outsourcing strategy: the case of e-banking channels," Journal of Global Information Technology Management, Taylor & Francis Journals, vol. 21(2), pages 111-138, April.
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    Cited by:

    1. Laxmi Pandey & P. V. Rajeev & Arpit Saxena & Digvijay Pandey, 2024. "“Investigating Financial Literacy’s Influence on Self-Help Group-Bank Linkage Programme with Special Reference to the Indian state of Uttarakhand”," Circular Economy and Sustainability, Springer, vol. 4(3), pages 2339-2364, September.
    2. Ghouse, Ghulam & Bhatti, Muhammad Ishaq & Nasrullah, Muhammad Junaid, 2025. "The impact of financial inclusion, Fintech, HDI, and green finance on environmental sustainability in E-7 countries," Finance Research Letters, Elsevier, vol. 72(C).
    3. Eunjung Park & Sangyoon Yi, 2025. "Compulsory education enhances financial inclusion across socioeconomic groups: a global analysis," Palgrave Communications, Palgrave Macmillan, vol. 12(1), pages 1-14, December.
    4. Tekalign Negash Kebede, 2025. "Unveiling the drivers of bank profitability: insights from Ethiopian banks," Palgrave Communications, Palgrave Macmillan, vol. 12(1), pages 1-16, December.
    5. repec:zib:zbmbmj:v:3:y:2023:i:1:p:50-55 is not listed on IDEAS

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