Acta Universitatis Danubius. Œconomica, Vol 14, No 3 (2018)

Abstract

The global, regional and national level policy makers are increasingly embracing financial inclusion as an important priority for fostering economic and social development. Likewise, policy makers in Zimbabwe have identified financial inclusion as a pillar of re-invigorating the struggling economy. This realisation has culminated in the formulation of various strategies aimed at promoting financial inclusion. However, the effectiveness of these strategies is not well known, knowledge about the adopted strategies is needed so that informed policies can be crafted. Against this backdrop, a quantitative study was designed to establish the effectiveness of financial inclusion strategies which include National Micro finance Policy, Post Office Savings Bank loans, mobile financial services, Agency Banking, Shared Infrastructure Network, Insurance policy provisions. Using data from 118 Micro, Small to Medium enterprises owners/managers operating in Mashonaland East, the results show that National Micro finance Policy, Post Office Savings Bank loans, mobile financial services have statistically significant and positive effects on financial inclusion. The other three strategies: Agency Banking, Shared Infrastructure Network, and Insurance provisions showed a negative effect on financial inclusion.