The impact of digital banking on financial inclusion in Sub-Saharan Africa: A Systematic Review of Existing Literature and Reports

Abstract

This systematic review evaluates the impact of digital banking on financial inclusion and economic development in Sub-Saharan Africa (SSA). A comprehensive search of Google Scholar, Scopus, Web of Science, SSRN, and institutional repositories (e.g., World Bank, IMF) identified 1,238 records published between 2015 and 2024. After removing duplicates (n=312) and screening titles/abstracts, 45 studies met inclusion criteria (empirical, SSA-focused, peerreviewed/policy reports). Risk of bias was assessed using the Mixed Methods Appraisal Tool (MMAT), with 78% of studies rated high quality. Thematic and quantitative synthesis revealed that mobile money adoption reached 64% in SSA by 2023, significantly enhancing rural access and reducing transaction costs. However, gender disparities persist: women are 15% less likely to adopt digital banking due to socio-cultural barriers and lower smartphone ownership. A 10% rise in mobile money usage correlated with a 1.2% GDP increase, driven by SME growth and improved household resilience. Successful policies, such as Kenya’s National Fintech Policy, contrast with fragmented regulations in Nigeria, where restrictive KYC requirements excluded 18% of low-income users. Key challenges include cybersecurity risks, rural infrastructure deficits (e.g., limited internet coverage), and uneven digital literacy (45% lack basic skills). The review underscores the need for harmonised regulations, targeted literacy programmes, and infrastructure investments to bridge urban-rural and gender gaps. Methodological limitations include geographic bias (68% of studies focused on Kenya, Nigeria, Ghana) and reliance on self-reported data. Future research should prioritise underrepresented regions and emerging technologies like blockchain. Addressing these gaps, digital banking can fulfil its potential as a catalyst for equitable financial inclusion in SSA.