This study examined the impact of monetary policy on financial inclusion in the Nigerian economy using annual secondary data from 1980 to 2013. This is imperative because without inclusive financial systems, poor people will have to rely on their own limited savings to invest in their future. This can further worsen the rising income inequality and hinder economic growth. In an attempt to achieve the broad objective of this study, an ordinary least square (OLS) econometric regression analysis was adopted. In the model formulated for the study the total number of loans and advances of commercial banks proxy for financial inclusion (TNLC) was the dependent variable, while Inflation rate (INFL), Liquidity ratio (LR), money supply (MS) and treasury bills issued to commercial bank (TBC) were the explanatory variables. The data were collected from the Central Bank of Nigeria (CBN) Statistical Bulletin and National Bureau of Statistics. The result was facilitated using the Econometric View (E-View). The result of the analysis at 5% level of significance shows clearly that there is a significant negative relationship between inflation financial stability and financial inclusion in Nigeria. The study also established that liquidity ratio has a significant negative relationship with financial inclusion. It was also found that money supply and Treasury bill issued to commercial bank have no impact on financial inclusion in Nigeria. Among others, the study recommends that CBN must continue to ensure the full implementation of the Microfinance Policy Objectives of promoting financial inclusion and accessibility to the economically active poor and the micro entrepreneurs.
TABLE OF CONTENTS
CHAPTER ONE – INTRODUCTION
1.1 Background of the Study
1.2 Statement of the Problem
1.3 Objectives of the Study
1.4 Research Questions
1.5 Research Hypothesis
1.6 Scope of the Study
1.7 Justification of the Study
1.8 Operational Definition of Terms
CHAPTER TWO – LITERATURE REVIEW
2.1 Conceptual Review
2.1.1 Concept of Financial Inclusion
2.1.2 Importance of Financial Inclusion on Rural Dwellers in Nigeria
2.1.3 Challenges of Rural Dwellers in Nigeria
2.1.4 Importance of Financial Inclusion
2.2 Empirical Literature
2.3 Theoretical Literature
2.3.1 Modern development theory
2.3.2. Sustainability theory
2.4 Current State of Financial Inclusion in Nigeria
CHAPTER THREE – RESEARCH METHODOLOGY
3.1 Introduction
3.2 Research Design
3.3 Study Area
3.4 Population of the Study
3.5 Sample Size and Sampling method
3.6 Data Type and Instrument for Collecting data
3.7 Validity and reliability of research Instrument
3.8 Model Specification
3.9 Method of Data Analysis
CHAPTER FOUR – PRESENTATION AND ANALYSIS OF DATA
4.1 Presentation of Data
4.2 Presentation of Result
4.3 Interpretation of Result
4.4 Discussion of Findings
CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION & RECOMMENDATIONS
5.1 Summary of Findings
5.2 Conclusion
5.3 Recommendations
REFERENCES
APPENDIX
