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ASSESSING FINANCIAL INCLUSION OF ENTERPRISES:
A COMPARATIVE STUDY OF DIFFERENT WORLD REGIONS
Bożena FRĄCZEK
University of Economics in Katowice, Finance and Insurance Faculty,
Department of Banking and Financial Markets, Katowice, Poland.
Abstract
Financial inclusion is defined as the access to a wide range of regulated financial products and services and
broadening their use by all segments of society is usually considered from the point of view of individual financial
consumers. But the problem of financial inclusion refers to individuals as well as to the other entities. The degree
of financial inclusion is probably not the same, considering different target groups or taking into account
developed and developing countries or different regions in the world (Frączek and Mitręga-Niestrój, 2014). With a
view to the great role of financial inclusion in enterprises and considering their role in economy, the context of
financial inclusion for enterprise and business purposes seems to be also very important. Underlying the meaning
of the financial inclusion for both individuals and business, the objectives of the paper are the presentation of the
main areas of financial inclusion and comparing the degree of usage the basic financial products and services
between individuals and firms in different regions in the world.
It turns out that the gap in access and use of financial products and services still remains a challenge, especially for
individuals, small and medium enterprises and poorer regions in the world (low-income countries).
Keywords: financial inclusion, financial products and financial services, economic growth, financial inclusion in
enterprises, SME.
Introduction
The degree of financial inclusion understood as access to and usage of basic financial services is
very diverse in the world. Another important fact is, that in the world is observed an increase
of financial inclusion (World Bank, 2015b; World Bank, 2012). But although the situation is
changing - the degree of financial inclusion, it is still unsatisfactory in comparison to the scale
and pace of the financial markets development. In the process of expanding the degree of
financial inclusion in the world, it is very important to be aware how much is a given financial
product or service actually valuable to its users, because it reflects how frequently that product
or service is used. It means that usually underlined access to financial products and services is
not key issue in financial inclusion. The most important challenge for financial inclusion is the
universal access to a wide range of financial services that can be used when and as needed.
Further financial inclusion is emerging as a priority that is necessary for further development of
today’s financial markets and economies in particular countries or regions.
Recently more and more attention is paid to financial inclusion, taking account of its role in
ensuring the current and future financial wellbeing of individuals (households) and considering
the impact of financial inclusion on running business as well as functioning and development of
financial markets and economy. Access to appropriate financial products and services may
allow the poor or otherwise disadvantaged individuals to find an appropriate way to invest in
physical assets and education, reducing income inequality and at the same time may contribute
to economic growth. Also in the case of enterprises the access to bank loans, credits, leasing or
other forms of funding by formal financial institutions is a crucial issue in their production,
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