South Africa’s financial imbalance

Research from Egypt on financial inclusion in South Africa considering race, education, and income has concluded that Caucasian members of the population are more likely to have bank accounts. the work also showed that higher education is correlated with an increased awareness of financial planning.

Individuals described as “coloured” in the paper and individuals described as “Africans” were shown to be the least likely to own bank accounts. These individuals in the population were shown to have four years less education on average than Caucasian individuals.

The paper notes the considerable evidence that the success of self- employed individuals and entrepreneurs’ successes are related to ethnic group even after the end to racial segregation, Apartheid, in 1994. The paper shows a clear inequality between ethnic groups. Financial inclusion is needed for long-term economic growth and poverty reduction.

Omran, M.F. (2018) ‘An analysis of the financial inclusion in South Africa considering race, education and income’, World Review of Entrepreneurship, Management and Sustainable Development, Vol. 14, No. 5, pp.657–667. B