Abstract
The issue of employability remains a major challenge in develo** countries. This article studies the effects of financial inclusion on employability in a sample of 32 sub-Saharan African countries. The methodological approach mobilizes fuzzy set theory and binary probit modelling. The robustness of the results is alternatively checked by a Multiple Correspondence Analysis on the variables used to construct the multidimensional index of financial inclusion. The results highlight an overall financial inclusion index of 29.35% in the sample. They further show that financial inclusion improves employability in sub-Saharan Africa. An increase in the degree of financial inclusion by 10 percentage points leads to an increase in the probability of having a job by 4.4 percentage points. Account ownership in a financial institution, mobile money account ownership, savings, and access to borrowing are the main financial inclusion variables that positively affect employability in sub-Saharan Africa. In terms of the implications of economic policies, public authorities should take measures aimed at the financial inclusion of populations by promoting their access to financial services and electronic means of payment.
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All codes are written in STATA and are available from the corresponding author on request.
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The authors worked jointly on this article and both authors contributed equally to the design of the article. Both authors have read and approved the final manuscript. Author contact details: The first author of the article is a lecturer at Institute for Training and Professional Development (IFPM) at the University of Ouahigouya; and the second author is a Doctor of economics at the University of Thomas Sankara and a statistician-economist engineer at the Directorate of Statistics of the Ministry in charge of agriculture.
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Tiatité, N., Adama, N. Effects of financial inclusion on employability in sub-Saharan Africa: a fuzzy set theory analysis. SN Bus Econ 2, 196 (2022). https://doi.org/10.1007/s43546-022-00378-0
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DOI: https://doi.org/10.1007/s43546-022-00378-0