Studying the impact of financial inclusion on human development in the Arab Republic of Egypt

    Abstract
This research aims to study the impact of Financial Inclusion on Human Development in the Arab Republic of Egypt. The data covers the years 2011 to 2021. In this research, three Human Development components are examined namely, Income, Life Expectancy and Years of Schooling. The indicators of institutional determinants of Financial Inclusion are the use of Debit Card, Using a Credit Card, Borrowing from a Formal Financial Institution and Saving in a Formal Financial Institution. Standard statistical tests are implemented.
Three models are developed to help explain the relationship between Human Development and Financial Inclusion. The results show that Credit Card Use has no significant effect on Inequality-Adjusted Life Expectancy. On the other hand, the Use of Debit Cards, Savings at a Financial Institution, and Borrowing from a Formal Financial Institution have significant and negative effects on Inequality-Adjusted Life Expectancy.  The results also show that Savings at a Financial Institution has no significant effect on Inequality-Adjusted Income. Nevertheless, the Use of Credit Card, Use of Debit Cards, and Borrowing from a Formal Financial Institution all have a significant negative impact on Inequality-Adjusted Income. The results show that Credit Card Use has no significant effect on Inequality-Adjusted Education. Nevertheless, the Use of Debit Cards, Savings at a Financial Institution, and Borrowing from a Formal Financial Institution all have a significant negative impact on Inequality-Adjusted Education. The above findings extend other related studies that have concluded that Financial Inclusion has significant and positive effects on Human Development. However, the results of this research show a negative effect on Human Development.