Abstract
This research evaluates financial inclusion and territorial inequalities comparing private banks and alternative financial institutions of the social and solidarity-based economy of Ecuador (provinces-level), between 2015 and 2018. Applying Principal Component Analysis, a synthetic index of financial inclusion was constructed using indicators that capture the dimensions of access, use and extent of financial services. A non-hierarchical cluster analysis was also performed to classify Ecuadorian provinces on terms of high, low, and medium multidimensional poverty and rurality. The obtained results indicate the existence of territorial inequalities in the access and use of financial services. We conclude that the credit unions produce a greater level of financial inclusion in disadvantaged territories of Ecuador, in contrast to the private banks that show high levels of financial inclusion in the provinces with a higher socioeconomic status.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.