The Role of Financial Inclusion in Reducing Poverty: Mediating Effects of Income and Employment

Md. Royel Islam — Thu, 21 May 2026 00:00:00 +0000

This study investigates the role of financial inclusion in reducing poverty, with particular attention to the mediating effects of income and employment. Grounded in a quantitative research design, the analysis utilizes regression techniques based on SPSS-simulated data to examine both the direct and indirect relationships among financial inclusion, income generation, employment opportunities, and poverty reduction outcomes. The conceptual framework of the study is built on the premise that improved access to financial services enables individuals and households to enhance productive economic participation, thereby influencing welfare outcomes through multiple channels. The empirical findings demonstrate that financial inclusion has a statistically significant and positive effect on both income levels and employment opportunities. Individuals with greater access to formal financial services, such as savings accounts, credit facilities, and digital payment systems, are more likely to engage in income-generating activities and secure stable employment. This improved economic participation subsequently contributes to a measurable reduction in poverty levels. The results also indicate that financial inclusion exerts a direct negative effect on poverty, suggesting that increased access to financial systems independently improves household welfare. Furthermore, the mediation analysis confirms that income and employment jointly serve as partial mediators in the relationship between financial inclusion and poverty reduction. This implies that while financial inclusion directly alleviates poverty, a substantial portion of its impact operates indirectly through enhanced income generation and expanded employment opportunities. The presence of partial mediation highlights the multifaceted mechanisms through which financial inclusion influences socioeconomic outcomes. Overall, the study underscores the importance of financial inclusion as a critical policy instrument for promoting inclusive economic growth. It suggests that expanding equitable access to financial services can play a vital role in strengthening income security, improving labor market participation, and ultimately reducing poverty in developing economies. These findings provide valuable implications for policymakers aiming to design effective financial and development strategies for sustainable poverty alleviation.

Impact of Corporate Governance on Firm Value: Evidence from Non-Financial Listed Companies in Emerging Markets

Wed, 03 Jun 2026 00:00:00 +0000

This research examines the linkage between governance frameworks and enterprise valuation by utilizing information drawn from publicly traded companies operating within a developing market environment. A longitudinal panel dataset spanning 2015 to 2023 is assessed using both fixed-effects and random-effects econometric models. Organizational performance is measured using market-oriented (Tobin’s Q) alongside accounting-based (Return on Assets) metrics. The empirical outcomes reveal that governance characteristics—especially the proportion of independent directors and the level of institutional shareholding—are positively related to firm valuation. Conversely, higher financial debt is associated with a decline in value, indicating greater exposure to financial risk. These results emphasize the significance of robust governance systems in improving corporate performance and provide actionable implications for regulatory authorities, investors, and corporate decision-makers.

Journal of Accounting Research, Business and Finance Management (e-ISSN: 2582-8851)

The Role of Financial Inclusion in Reducing Poverty: Mediating Effects of Income and Employment

Impact of Corporate Governance on Firm Value: Evidence from Non-Financial Listed Companies in Emerging Markets