المستخلص: |
The paper aims at exploring the remittance inflows-financial inclusion nexus relationship in Jordan. The Fully Modified Ordinary Least Square (FMOLS) method was applied to test for the long-run effect of remittance inflows on financial inclusion index. The required prerequisite statistical tests provide evidence on the validity and the adequacy of the model. The multidimensional financial inclusion index rangs from 0.36 to 0.55. The ARDL findings indicate that the model variables are cointegrated. The FMOLS estimation outcomes show that remittance inflows negatively impacted the multidomentianl financial inclusion index which emplies that remittance inflows act as a substitute for finanacial services. For policy recommendation, Jordan government should promote efforts to simulate the inflow of remittances and enhancing financial inclusion. To do so, government should encourage and promote the financial development sector, which in turn mitigates the negative impact of remittance inflows.
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