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Groundbreaking ODI research shows a link between access to financial services and household investment in education or a business, which can contribute to economic growth in developing countries. While semi-formal and informal financial services are important for access, households are more likely to use formal financial services for investment. Therefore, policies are needed to address the barriers that prevent people accessing formal financial services, and undertaking such investment.

This Project Briefing summarises the findings of research by ODI, which utilises FinScope survey data from Kenya (where it is called FinAccess) and Tanzania to examine this question by looking at the impact of access to financial services on household investment.