Credit Information Sharing and Its Link to Financial Inclusion and Financial Intermediation

In this article, several regression analyses are conducted to analyse the relationship of credit information sharing (by both private credit bureaus and public credit registries) with financial inclusion and financial intermediation. We find that there is a positive relationship between information sharing mechanisms and financial inclusion (measured by account (at a financial institution), borrowed from a financial institution, and domestic credit). We do not find significant results for bank performance parameters. Whereas this is the case with bank non-performing loans, the data do not allow (due to low R2) drawing conclusions on other parameters such as lending minus inflation rate or bank concentration.