Role of social capital and financial inclusion in sustainable economic growth

This study examines the interplay between social capital and financial inclusion in fostering sustainable growth, utilizing the Two Step System GMM methodology for comprehensive analysis. Financial participation was determined to have a strong and meaningful correlation with financial literacy and was also found to have a substantial and meaningful influence on sustainable growth. The research highlights that while financial literacy is a crucial mediator, social capital significantly moderates the relationship between financial inclusion and sustainable development. The research offers valuable insights and practical implications for businesses and authorities, particularly in developing nations. Our findings contribute to the broader understanding of how financial and social factors drive economic sustainability.