Bridging the Gap: Digital Finance, Financial Inclusion, and Their Impact on Economic Growth in Sub-Saharan Africa – A Systematic Review with Policy Insights

Abstract

This systematic review explores the interplay between digital finance, financial inclusion, and economic growth, with a focus on emerging economies such as Sub-Saharan Africa. Synthesizing findings from 160 peer-reviewed studies (2016–2024), it examines how digital financial technologies, including mobile banking and blockchain, are transforming access to financial services and fostering inclusive growth. Key findings highlight that digital finance significantly enhances credit access, empowers small enterprises, and drives entrepreneurship, though its impact is moderated by digital literacy, regulatory frameworks, and infrastructure disparities. This review identifies critical barriers, such as the urban-rural digital divide and cybersecurity risks, and emphasizes the role of governance in optimizing outcomes. Furthermore, it aligns digital finance with Environmental, Social, and Governance (ESG) objectives, underscoring its potential to reduce socio-economic disparities and promote equitable development. Policymakers are urged to prioritize investments in digital infrastructure and literacy programs to create resilient and inclusive financial ecosystems. This study contributes novel insights by mapping thematic trends and presenting actionable frameworks for leveraging digital finance as a driver of sustainable economic growth in underserved regions.

Keywords: Digital finance, Inclusive finance, Economic growth, Digital transformation, ESG, Sub-Saharan Africa, Financial innovation, Governance.

DOI: 10.7176/JESD/16-2-05

Publication date: March 30th 2025