Financial Inclusion, Poverty Alleviation, and Digitalization

Abstract

The link between financial inclusion, reducing poverty, and digitalization is examined in this essay. Economic globalization has emerged as a key trend in the growth of the global economy. With the continuous and deepening influence of the trend of economic globalization, the development of various regions in the world's economic environment needs to be balanced. The large gap between countries, urban and rural areas, regions, and social classes is typical of unbalanced economic development. Inclusive finance is a concept proposed to solve the problem of poverty from the level of financial services. A more universal and beneficial financial system is necessary for each country's economic growth and social development, so achieving financial inclusion has received the attention of many countries. Therefore, based on the region-specific data collected, the relationship between inclusive finance for economic growth and poverty alleviation will be examined from two perspectives in this paper: inclusive finance for poverty alleviation and inclusive digital finance. Through an analysis of the current state of inclusive finance, the limitations of its development and recommendations for future development will be discovered.