摘要：This paper offers an empirical investigation on the channels through which financial inclusion may influence thesoundness of African banks. Using the dynamic panel approach, we construct a composite index of financial inclusionfor 38 African countries over the period 2005 to 2014, and then investigate if the financial inclusion could influencedirectly or through the competition the banking stability. Our results indicate a strong relation between financialinclusion, and banking stability. In addition, the result suggests that the policy makers face tradeoffs between financialinclusion and bank competition to improve the financial stability.
