Fintech and Financial Inclusion: Evidence from Emerging Markets
DOI:
https://doi.org/10.54518/rh.5.3.2025.598Keywords:
Digital Finance, Emerging Markets, Financial Technology, Financial InclusionAbstract
This study examines the developing relationship between financial technology (fintech) and financial inclusion in emerging economies. The financial sector has undergone rapid transformation due to fintech, which offers cutting-edge digital solutions that extend financial services to previously unbanked or underserved communities. By systematically reviewing relevant literature, this study underscores the positive impact of fintech in reducing barriers to financial access, reducing transaction costs, and improving the availability of credit, payments, and savings tools in emerging economies. Fintech also plays a significant role in empowering marginalized groups, supporting micro-entrepreneurs, and fostering digital financial ecosystems. Although progress has been made, inclusive growth is still hindered by several obstacles, including fragmented regulatory frameworks, limited digital infrastructure, cybersecurity threats, and a general lack of financial literacy. The findings offer significant insights for policymakers, financial institutions, and technological developers aiming to utilize fintech to enhance long-term financial inclusion. This research adds to the expanding literature by situating fintech’s role in inclusive finance within the distinct economic and institutional frameworks of emerging markets, while also highlighting key areas for further study and policy action.
Downloads
References
Adel, N. (2024). The Impact of Digital Literacy and Technology Adoption on Financial Inclusion: Evidence from Emerging Economies in Africa, Asia, and Latin America. Heliyon, 10(24), 1111–1116.
Akanfe, O., Bhatt, P., & Lawong, D. A. (2025). Technology Advancements Shaping the Financial Inclusion Landscape: Present Interventions, Emergence of Artificial Intelligence and Future Directions. Information Systems Frontiers, 9(3), 2324–1116.
Anyangwe, T., Vanroose, A., & Fanta, A. (2022). Determinants of financial inclusion: does culture matter? Cogent Economics and Finance, 10(1), 98-107.
Bekele, W. D. (2023). Determinants of Financial Inclusion: A Comparative Study of Kenya and Ethiopia. Journal of African Business, 24(2), 301–319.
Berguiga, I., & Adair, P. (2025). Determinants of youth financial inclusion in MENA countries: account holding versus the use of digital services. Journal of Financial Reporting and Accounting, 23(2), 550-574.
Carè, R., Boitan, I. A., Stoian, A. M., & Fatima, R. (2024). Exploring the landscape of financial inclusion through the lens of financial technologies: A review. Finance Research Letters, 1(4), 78-84.
Dagnachew, T. G., & Mawugatie, T. W. (2022). The analysis of financial inclusion and its determinants in the rural area of south Wollo zone, Amhara Region, Ethiopia. Cogent Economics and Finance, 10(1), 32-42.
di Prisco, D., & Strangio, D. (2021). Technology and financial inclusion: a case study to evaluate potential and limitations of Blockchain in emerging countries. Technology Analysis and Strategic Management, 1(4), 1–14.
Dianda, P., Thiombiano, N., & Okey, M. K. N. (2025). Electronic money accessibility and financial inclusion in WAEMU countries: does increased access to electronic money lead to greater financial inclusion? Cogent Economics and Finance, 13(1), 1–20.
Ediagbonya, V., & Tioluwani, C. (2023). The role of fintech in driving financial inclusion in developing and emerging markets: issues, challenges and prospects. Technological Sustainability, 2(1), 100–119.
Elouaourti, Z., & Ibourk, A. (2024). Financial Technologies for All MENA citizens: Tackling barriers and promoting inclusion. Regional Science Policy and Practice, 16(6), 100-112.
Ezzahid, E., & Elouaourti, Z. (2021). Financial inclusion, mobile banking, informal finance and financial exclusion: micro-level evidence from Morocco. International Journal of Social Economics, 48(7), 1060–1086.
Ha, D., Le, P., & Nguyen, D. K. (2025). Financial inclusion and fintech: a state-of-the-art systematic literature review. Financial Innovation, 11(1), 35-46.
Hussain, S., & Rasheed, A. (2023). Financial inclusion based on financial technology and risky behaviour of micro-finance institutes: evidence from South Asian micro-finance banks. Digital Policy, Regulation and Governance, 25(5), 480–489.
Jha, S., & Dangwal, R. C. (2024). Fintech services and financial inclusion: a systematic literature review of developing nations. Journal of Science and Technology Policy Management, 3(6), 12-23.
Johri, A., Asif, M., Tarkar, P., Khan, W., Rahisha, & Wasiq, M. (2024). Digital financial inclusion in micro enterprises: understanding the determinants and impact on ease of doing business from World Bank survey. Humanities and Social Sciences Communications, 11(1), 1–10.
Kouladoum, J. C., Wirajing, M. A. K., & Nchofoung, T. N. (2022). Digital technologies and financial inclusion in Sub-Saharan Africa. Telecommunications Policy, 46(9), 102-121.
Kuosuwan, B., Risman, A., Dudukalov, E., & Kozlova, E. (2024). Digital banking and environmental impact: how Fintech supports carbon footprint reduction. BIO Web of Conferences, 3(5),145-15.
Li, F., Chandio, A. A., Zang, D., & Liu, H. (2025). Financial Inclusion, Digital Technology and Farmers' Well‐Being Nexus: Evidence from Rural of Xizang, China. Review of Development Economics, 3(5), 243-253.
Liu, F., & Walheer, B. (2022). Financial inclusion, financial technology, and economic development: a composite index approach. Empirical Economics, 63(3), 1457–1487.
Menza, M., Jerene, W., & Oumer, M. (2024). The effect of financial technology on financial inclusion in Ethiopia during the digital economy era. Cogent Social Sciences, 10(1), 98-113.
Mhlanga, D. (2024). The role of big data in financial technology toward financial inclusion. Frontiers in big Data, 7(5), 118-124.
Mohamed, H. A., & Otake, T. (2025). The role of Islamic FinTech in digital financial inclusion and sustainable development post covid-19: cross-country analysis. International Journal of Islamic and Middle Eastern Finance and Management, 18(3), 649–671.
Mohd Daud, S. N., Ahmad, A. H., & Trinugroho, I. (2024). Financial inclusion, digital technology, and economic growth: Further evidence. Research in International Business and Finance, 70(4), 123-134.
Mpofu, F. Y., & Mhlanga, D. (2022). Digital Financial Inclusion, Digital Financial Services Tax and Financial Inclusion in the Fourth Industrial Revolution Era in Africa. Economies, 10(8).
Nagaaba, N., Batamuriza, R., Basuta, J., & Owomugisha, M. (2025). Conceptualizing digital finance as a precursor for financial inclusion and financial service usage in Uganda. Cogent Business and Management, 12(1), 65-78.
Nguyen, T. A. N., & Luong, T. T. H. (2023). The Determinants of Financial Inclusion in Vietnam: A Demand-Side Approach. SAGE Open, 13(4), 1–12.
Okello Candiya Bongomin, G., Akol Malinga, C., Manzi Amani, A., & Balinda, R. (2025). Recalibrating the scope of financial inclusion through financial technologies in the digital age: the role of digital literacy as a moderator in rural Uganda. Information Technology & People, 38(3), 1178-1207.
Ozili, P. K. (2023). CBDC, Fintech and cryptocurrency for financial inclusion and financial stability. Digital Policy, Regulation and Governance, 25(1), 40–57.
Pandey, A., Kiran, R., & Sharma, R. K. (2023). Investigating the Determinants of Financial Inclusion in BRICS Economies: Panel Data Analysis Using Fixed-Effect and Cross-Section Random Effect. Sustainability (Switzerland), 15(2), 123-132.
Pradhan, K. C., & Sharma, R. (2022). Assessing the spatiotemporal financial inclusion and its determinants: a sub-national analysis of India. In Asia-Pacific Journal of Regional Science (Vol. 6, Issue 2). Springer Nature Singapore.
Raheem, S., Addo, A., Shaffakat, S., & Lunberry, D. (2024). Designing for financial inclusion in developing countries: Digital financial service for low-income women in Ghana. Information Society, 1(2), 1–19.
Rani, T., Wang, F., Rehman, S. A. U., & Amjad, M. A. (2025). Shaping sustainable futures in BRICS-T economies: The role of digitalization with moderating effects of green technology innovation and financial inclusion. Technology in Society, 82(12), 342-354.
Setiawan, B., Phan, T. D., Medina, J., Wieriks, M., Nathan, R. J., & Fekete-Farkas, M. (2024). Quest for financial inclusion via digital financial services (Fintech) during COVID-19 pandemic: case study of women in Indonesia. Journal of Financial Services Marketing, 29(2), 459–473.
Song, X., Qin, X., Wang, W., & Li, R. Y. M. (2025). Financial Inclusion, Technologies, and Worldwide Economic Development: A Spatial Durbin Model Approach. The Journal of Finance and Data Science, 6(7), 45-56.
Suhrab, M., Chen, P., & Ullah, A. (2024). Digital financial inclusion and income inequality nexus: can technology innovation and infrastructure development help in achieving sustainable development goals? Technology in Society, 76(4), 102-112.
Downloads
Published
How to Cite
Issue
Section
Categories
License
Copyright (c) 2025 Aryasatia Ramadhan, Muhammad Afiq Vidianto, Harjum Muharam, Wisnu Mawardi
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
