FinTech market development and financial inclusion in Ghana: The role of heterogeneous actors

Abstract

Efforts to include many financially in Ghana continue to witness substantial progress as the nuptial between information communication technology and finance thrives. However, except for information communication technology infrastructure, the role of other actors in the development of the financial technology market and financial inclusion in Ghana is unexplored. Therefore, the study explores how other heterogeneous actors contribute to the development of the financial technology market and financial inclusion in Ghana through information technology infrastructure. Specifically, first, we identify how key actors emerged in the financial technology market of Ghana and how these actors ride on information technology infrastructure to develop FinTech and improve financial inclusion. Second, we estimate the relationship between financial inclusion and these actors using time series econometric modeling. The government, mobile phones, telcos, mobile money agents, mobile money customers, and traditional banks are identified as key actors in the market. Further, the time series model shows a significant positive relationship between the heterogeneous actors' financial inclusion in Ghana. Therefore, these actors become significant to the existence, furtherance, and sustainability of the FinTech market and financial inclusion in Ghana.