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An empirical study on the effects of financial inclusion models for rural poverty reduction in Uganda

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Issue Date
2021-06
Publisher
Institute of International Affairs, Graduate School of International Studies, Seoul National University
Citation
Journal of International and Area Studies, Vol.28 No.1, pp. 137-161
Keywords
UgandaFinancial InclusionVSLACooperativeSaemaul Geumgo
Abstract
This study aims to assess the effect of financial inclusion models for rural poverty reduction in Uganda. The study uses propensity score matching, difference in difference (PSM-DID) method and data from villages in Mpigi district, Uganda to quantitatively evaluate the effect of the transformation from VSLAs (Village Savings and Loan Associations) to financial cooperatives (Saemaul Geumgo model of Korea). The results indicate the transformation into financial cooperatives has positive impacts on savings and income increase of members. In addition, the financially excluded, who had not been able to access any financial service before, have joined as members after the establishment of financial cooperatives, resulting to an increase in savings and income level. This study provides a new direction and approach on how to combine and utilize financial models and financial inclusion in the field of development cooperation.
ISSN
1226-8550
Language
English
URI
https://hdl.handle.net/10371/176798
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Graduate School of International Studies (국제대학원)Dept. of International Studies (국제학과)Journal of International and Area Studies (JIAS)Journal of International and Area Studies vol.28 (2021)
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