Study On Influence Factors And International Comparison Of Financial Inclusion

Finance is the core of modern economy, and financial exclusion is still widespread in developing countries and underdeveloped regions. According to the "World Bank Development Report- Financial inclusion 2014", it reports that more than half of the adults can not get an account in formal financial institutions in the world, 75 percent of poor even have no chance to get access to financial institutions. To make more people, especially vulnerable groups to share the fruits of economic growth, financial need inclusive development. Since 2005, the United Nations launched the new concept of an inclusive financial system, with the advocacy and promotion from the World Bank, IMF and other international agencies and governments, financial inclusion from a conceptual framework evolved into a financial development strategy recognized by the international community and the practice. The fifth Plenary Session of the 18 th CPC Central Committee adopted the "Promoting inclusive financial development plan(2016-2020)", studies on major developed countries and some developing countries in financial inclusion achieved successful experience, has important theoretical and practical significance to provide policy advice and inspiration for China to improve financial inclusion level.First, the paper reviewed the relevant theories of financial inclusive development, and summarized the empirical research methods. On the basis of the relevant reference analytical framework of financial inclusion on the international, the paper compared the current situation of financial inclusive development in various countries from micro, medium and macro three levels, it found that there is a higher level of financial inclusion in all levels of OECD countries, but there is still a big gap between China and them. Then, the paper builds the evaluation index system of financial inclusive development level on the basis of advanced financial inclusion measure index system and method from the world. Select the corresponding indicators from three dimensions, we determined the dimension value according to Euclidean distance method, while the coefficient of variation method was determined to take the dimension of index weight. And then the financial inclusion index was constructed to evaluate the sample countries’ financial inclusion from 2004-2013. The results showed that the level of national financial inclusion was a steady growth over the years, the country, which has higher level of economic development, has higher level of financial inclusion. Using Cluster analysis the results, it showed that the sample countries can be divided into high, mediun and low financial inclusion nations, China belongs to medium financial inclusion country. Next, with the financial inclusion index as the dependent variable, we established the model of influence factor on financial inclusion from including supply, demand, and the social environment. Meanwhile, we used panel regression estimation method on panel data from different views, finding out that income per capita, education, GDP growth rate showed a significant impact in various panel models. Finally, the paper made recommendations for furthering financial inclusion level of development based on analysis results: Enhance the residents’ financial sense; Enhance financial participation ability; Strengthening the construction of financial infrastructure; Encourage financial supply and product innovation; Promote the process of Urbanization; Promote the formation of a stable financial and social environment; The government plays the role of policy guidance.