The role of financial inclusion in achieving finance-related sustainable development goals (SDGs): a cross-country analysis

Figures & data

Table 1. Source of data for financial inclusion Index - Availability, accessibility, and usage indicators.

Dimension	Indicators	Source
Availability	(i) Number of deposit accounts with commercial banks per 1,000 adults	Financial Assess Survey Database from International Monetary Fund
	(ii) Number of loan accounts with commercial banks per 1,000 adults
	(iii) Number of credit cards per 1,000 adults
Accessibility	(i) Number of ATMs per 100,000 adults
Usage	(i) Outstanding loans from commercial banks (% of GDP)
	(ii) Outstanding deposits with commercial banks (% of GDP)

Source: Author’s own computation.

Table 2. Descriptive summary of the variables.

Variables	Mean	Standard deviation	Minimum	Maximum
INF	3.256	3.412	−2.093	29.506
INT	6.331	5.317	0.703	38.403
POP	0.868	0.995	−1.718	3.755
TRADE	95.165	58.778	24.319	380.104
FII	0.203	0.109	0.001	0.601
SDG 1	92.341	16.865	3.230	100
SDG 2	58.118	10.401	28.019	83.230
SDG 3	78.914	14.240	30.935	97.892
SDG 5	83.504	12.807	36.718	99.867
SDG 8	70.982	12.795	30.680	95.758
SDG 9	43.814	22.224	6.405	91.655
SDG 10	60.024	26.309	14.565	100

Source: Author’s own computation.

Table 3. Correlations among the variables.

	INF	INT	POP	TRADE	FII	SDG1	SDG2	SDG3	SDG5	SDG8	SDG9	SDG10
INF	1.0000
INT	0.1272	1.0000
POP	0.1200	0.1549	1.0000
TRADE	−0.1744	−0.2382	−0.3760	1.0000
FII	−0.4740	−0.0771	−0.0686	0.1623	1.0000
SDG1	−0.2405	−0.1134	−0.5177	0.0918	0.2024	1.0000
SDG2	−0.2525	0.0321	−0.5258	0.2631	0.3867	0.4627	1.0000
SDG3	−0.4216	−0.1067	−0.5129	0.2929	0.4453	0.7509	0.6319	1.0000
SDG5	−0.2748	−0.2288	−0.5510	0.2791	0.3806	0.5295	0.5955	0.6982	1.0000
SDG8	−0.4738	−0.2267	−0.4042	0.3053	0.4306	0.3969	0.5979	0.6324	0.5838	1.0000
SDG9	−0.3689	−0.2195	−0.2788	0.3089	0.6811	0.3750	0.6221	0.6607	0.6038	0.6311	1.0000
SDG10	0.0037	−0.2349	−0.4111	0.2174	−0.0812	0.3687	0.3564	0.3384	0.3053	0.3241	0.3351	1.0000

Source: Author’s own computation.

Table 4. Baseline estimates of the impact of the financial inclusion index on SDGs 1, 2, 3, 5, 8, 9, and 10.

	FEM	REM	FEM	REM	FEM	FEM	FEM
	(1)	(2)	(3)	(4)	(5)	(6)	(7)
VARIABLES	SDG 1	SDG 2	SDG 3	SDG 5	SDG 8	SDG 9	SDG 10
Constant	52.91** (20.77)	49.55*** (3.537)	73.78*** (4.456)	80.38*** (4.677)	100.40*** (23.73)	45.21*** (8.270)	29.97 (27.60)
INF	0.20 (0.319)	−0.21 (0.136)	0.01 (0.0686)	−0.08 (0.230)	−0.56 (0.365)	−0.10 (0.127)	−0.55 (0.562)
INT	1.97* (1.070)	0.22 (0.203)	0.06 (0.217)	−0.32 (0.265)	−3.21*** (1.154)	−1.04** (0.402)	−0.86 (1.352)
POP	9.75 (6.191)	−3.56*** (1.108)	0.42 (1.337)	−5.78*** (1.445)	−14.62** (7.122)	−5.84** (2.482)	24.96** (10.57)
TRADE	0.18 (0.221)	0.02 (0.0239)	0.01 (0.0479)	0.01 (0.0304)	−0.09 (0.255)	0.07 (0.0890)	−0.13 (0.298)
FII	−0.08 (39.04)	31.50*** (9.328)	−4.76 (8.424)	39.12*** (12.61)	62.23** (44.86)	−6.59 (15.63)	72.52 (50.06)
Poolability F-test	9.86***	13.57***	136.94***	6.67***	2.82***	58.32***	15.93***
BP LM test	63.31***	77.35***	108.61***	52.12***	12.86***	99.82***	67.44***
Hausman test	20.42***	3.13	57.53***	5.46	11.19**	38.65***	11.10**
Adjusted R-squared	0.11	0.06	0.01	0.02	0.23	0.19	0.08
F-statistic	1.86	1.34	0.15	1.29	4.46***	3.63***	1.35
Wald chi2(8) Prob > chi2	12.46**	34.90***	8.87	38.11***	48.43***	37.89***	5.48

Source: Author’s own computation.

Table 5. Aggregated 7 finance-related SGD index from 2017 to 2020.

Country	2017		2018		2019		2020
	SDG index	Rank	SDG index	Rank	SDG index	Rank	SDG index	Rank
Albania	67.8	42	65.3	48	66.9	45	67.2	45
Algeria	55.4	62	68.0	40	71.5	32	73.5	33
Argentina	71.4	32	68.3	39	69.2	40	71.1	39
Australia	84.1	11	85.2	13	83.3	13	85.2	13
Austria	86.0	8	87.2	10	87.4	8	89.3	8
Azerbaijan	70.5	37	70.1	35	71.1	34	70.4	40
Barbados	68.4	40	66.3	44	64.3	49	62.2	61
Belgium	87.6	6	87.9	8	87.1	9	89.5	7
Bolivia	52.8	67	61.5	58	63.3	53	65.4	51
Brazil	64.0	47	65.5	47	65.2	47	67.6	44
Bulgaria	69.4	39	71.5	33	70.0	39	71.7	37
Cambodia	60.9	55	61.7	57	63.6	51	63.6	57
Chile	68.4	41	69.7	36	71.3	33	74.8	32
China	71.7	31	75.2	25	79.8	17	81.4	19
Colombia	58.1	60	59.4	62	61.4	59	63.0	58
Costa Rica	52.2	68	67.1	43	67.1	44	69.0	41
Croatia	76.9	23	76.5	22	76.3	24	80.0	23
Czech Republic	84.9	9	84.0	15	84.5	12	87.1	12
Denmark	89.3	3	91.4	2	90.1	2	92.0	1
Dominican Republic	60.1	58	59.9	60	63.0	55	64.3	54
Ecuador	61.9	52	61.7	56	63.4	52	66.6	47
Egypt	54.1	63	59.9	61	61.6	58	64.4	53
El Salvador	60.1	57	58.8	65	60.1	61	63.0	59
Estonia	80.4	16	80.6	17	80.1	16	83.8	16
Fiji	70.9	35	75.1	27	71.0	35	66.5	48
Finland	87.6	5	88.5	6	88.2	4	90.0	5
Georgia	63.8	48	64.6	51	63.2	54	65.5	50
Greece	74.6	25	71.5	34	71.7	31	75.5	28
Guatemala	53.1	66	51.4	70	52.3	65	53.5	65
Guyana	61.7	53	58.1	66	50.3	68	52.7	67
Honduras	51.7	69	53.0	67	51.0	66	51.9	69
Hungary	79.1	20	77.6	21	78.1	21	81.2	20
Iceland	86.1	7	90.2	3	87.8	6	88.4	10
Indonesia	61.7	54	59.3	64	60.7	60	62.5	60
Ireland	84.3	10	87.3	9	85.7	10	88.7	9
Italy	80.2	17	79.8	18	80.9	15	83.9	15
Jordan	66.7	44	64.5	52	63.8	50	66.4	49
Kazakhstan	74.1	28	69.3	37	70.2	38	71.3	38
Kenya	49.6	70	51.5	69	46.8	72	52.9	66
Korea	74.4	26	88.4	7	88.8	3	91.3	2
Latvia	76.7	24	77.8	20	78.3	20	79.6	24
Lithuania	78.3	21	75.7	24	73.7	27	76.9	26
Luxembourg	82.5	13	86.3	11	83.0	14	84.9	14
Malawi	32.5	74	36.8	74	37.7	74	39.0	74
Malaysia	70.9	34	72.8	31	70.8	36	76.1	27
Mexico	65.8	46	62.0	55	62.9	56	66.7	46
Moldova	70.6	36	73.2	29	72.0	30	72.5	36
Mozambique	31.7	75	34.0	75	34.8	75	34.4	75
Namibia	41.8	73	44.5	73	45.0	73	46.0	73
Netherlands	89.3	4	89.7	4	87.9	5	90.2	4
Nicaragua	53.3	65	59.3	63	59.6	62	57.4	64
North Macedonia	66.8	43	67.5	42	66.1	46	68.9	42
Norway	89.8	2	89.3	5	87.5	7	89.8	6
Pakistan	53.5	64	49.9	71	49.8	69	50.5	71
Panama	62.4	50	62.6	54	61.8	57	64.1	56
Paraguay	57.3	61	63.8	53	65.1	48	65.3	52
Peru	62.7	49	64.7	50	67.3	43	68.4	43
Philippines	60.4	56	60.3	59	59.6	63	61.0	62
Poland	79.6	19	75.2	26	76.6	23	80.2	22
Portugal	77.3	22	76.2	23	76.9	22	80.3	21
Romania	74.4	27	65.9	46	67.6	42	73.0	34
Saudi Arabia	62.2	51	71.9	32	50.7	67	52.3	68
Serbia	72.0	30	73.1	30	75.4	25	78.0	25
Singapore	82.1	14	85.7	12	74.6	26	75.2	29
Slovak Republic	80.6	15	80.7	16	79.0	19	81.8	18
Slovenia	83.4	12	85.1	14	85.6	11	88.1	11
South Africa	48.0	72	49.3	72	47.9	70	51.1	70
Spain	80.0	18	79.2	19	79.6	18	82.2	17
Sweden	91.1	1	91.5	1	90.7	1	91.0	3
Thailand	71.0	33	69.1	38	72.5	29	75.2	30
Trinidad and Tobago	59.6	59	64.8	49	59.6	64	59.7	63
Turkey	69.6	38	67.9	41	70.6	37	72.5	35
Uganda	49.5	71	52.1	68	46.8	71	48.0	72
Ukraine	73.8	29	73.5	28	72.8	28	75.0	31
Uzbekistan	66.3	45	66.0	45	68.5	41	64.1	55

Source: Author’s own computation.

Table 6. Effects of financial inclusion on sustainable development (finance-related SDG index).

	POLS	FE	RE
	(1)	(2)	(3)
	SDG index	SDG index	SDG index
Constant	63.96*** (3.071)	68.30*** (8.783)	63.39*** (4.107)
INF	−0.64** (0.248)	−0.26* (0.139)	−0.32** (0.130)
INT	−0.24 (0.158)	−0.97** (0.440)	−0.43* (0.235)
POP	−3.92*** (0.870)	−1.27 (2.697)	−3.02** (1.286)
TRADE	0.01 (0.0177)	−0.01 (0.0906)	0.01 (0.0285)
FII	40.67*** (8.144)	28.87* (16.91)	37.72*** (10.46)
Poolability F-test	23.39**
BP LM test	87.69***
Hausman test	0.44	0.14	4.07
Adjusted R-squared	0.41	0.41	0.45
F-statistic	19.05***	19.01***	21.75***
Wald chi2(8) Prob > chi2

Note: ***, ** and * denote 1%, 5% and 10% significant level respectively.

Source: Author’s own computation.