Proces włączenia finansowego w krajach najsłabiej rozwiniętych – szanse i zagrożenia dla rozwoju społeczno-gospodarczego
The Process of Financial Inclusion in the Least Developed Countries – The Opportunities and Threats for Socio-economic Development

Author(s): Jan Wudkowski
Subject(s): Business Economy / Management, Financial Markets, Socio-Economic Research
Published by: Wydawnictwa Uniwersytetu Warszawskiego
Keywords: least developed countries; financial inclusion; FinTech; mobile money; financial globalization; endogenous money;
Summary/Abstract: The steady and rapid expansion of cashless payments continues worldwide, including in the poorest societies. This article aims to discuss the phenomenon of financial inclusion and to show the opportunities and threats related to its implementation in the least developed countries (LDCs). The scale of socio-technological changes in the group of the poorest countries was described. It was also explained that financial inclusion is a very relevant issue for the ongoing socio-political discourse. The applied research methodology consisted of an analysis of papers and reports prepared primarily by the World Bank and by selected organisations, such as UNCTAD. The FinTech sector plays a special role in the financial inclusion process, including the LDCs. The prominent examples of financial technologies include mobile payments or algorithms that analyze the digital footprint for credit scoring purposes. The research problem discussed in this article examines a difference in perception of motives behind the promotion of financial inclusion in underdeveloped regions, which has been undertaken by numerous influential organisations, as well as various political and philanthropic groups. This could be seen as an element of the ongoing transformation of the global financial system, aimed at building debt-credit relations between the Global North and the Global South. The Conclusions section outlines a way of implementing financial inclusion in the least developed countries that would allow it to reduce its potential threats.

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