The Impact of Digital Financial Inclusion on Sustainable Economic Growth: An Empirical Analysis of Emerging Economies
DOI:
https://doi.org/10.64758/6mrj1f50Keywords:
Graph Neural Networks (GNNs), Reinforcement Learning (RL), Resource Allocation, Cloud Computing, Dynamic Optimization, Deep Learning, Graph Representation, Multi-Agent Systems, Performance Optimization, Distributed SystemsAbstract
This study examines the effect of digital financial inclusion on sustainable economic growth in emerging markets. Using a 2010-2023 panel dataset, we apply the System Generalized Method of Moments (GMM) estimation to account for possible endogeneity issues. Our results indicate a strong positive association between DFI, captured in terms of mobile money penetration and internet banking use, and sustainable economic growth, captured by GDP per capita growth and environmental performance metrics. The evidence implies that DFI allows for increased access to financial services, encourages entrepreneurship, improves resource allocation efficiency, and induces environmentally friendly business practices. This research contributes to the emergent literature on the use of fintech as a driver of inclusive and sustainable development, offering rich insights for policy-makers in developing countries looking to harness digital technology for economic growth and environmental conservation.
