The nexus between digital financial inclusion and measles vaccination coverage in low- and middle-income countries

Abstract

Digital finance represents a more accessible financial system that facilitates timely access to funds for health-related needs, particularly in low-resource settings. This study examines the relationship between digital financial inclusion (DFI) and vaccination coverage against measles, a highly contagious disease. Using data from 74 countries over the period 2011 - 2021, we first employ OLS for our estimations. We find that DFI, measured by the number of mobile money transactions per adult, is positively associated with measles vaccination coverage. Further analysis indicates no evidence of differences in the association across income levels. By contrast, additional findings suggest that the relationship between DFI and measles vaccination coverage is more pronounced in settings with greater investment in healthcare. Finally, we use the Two-Step System GMM (2SSGMM) estimator to mitigate potential reverse causality, and the results remain consistent with the OLS estimates.
Keywords: Digital financial inclusion, Measles, Vaccination coverage.