ABSTRACT
This study inspects relation between financial inclusion, trade, and economic growth in twenty-four developing countries namely Algeria, Azerbaijan, Bangladesh, Botswana, Brazil, Colombia, Egypt, Kuwait, Madagascar, Mauritania, Mauritius, Namibia, Nigeria, Moldova, Pakistan, Paraguay, Peru, Rwanda, Tajikistan, Tanzania,
Thailand, Uganda, Vanuatu, Zambia from period 2004-2020(both inclusive) by scrutinizing effect of financial inclusion and trade on economic growth with an emphasis on whether financial inclusion catalyzes ‘the influence of trade on economic growth by employing Newey West standard approach, Feasible Generalized Least Square, Pooled Ordinary Least Square regression, Fixed Effect Model and Random Effect Model. Results found a strong, significant, and positive association linking financial inclusion and trade with economic growth. Policy implications are developing countries should frame and execute pro-growth policies to enhance financial inclusion which will boost the impact of trade on growth. Moreover, developing economies should establish more multilateral trade agreements, diversify their export baskets and ensure that trade happens through formal financial institutions.
