Abstract

Financial inclusion is a necessary global responsibility for policymakers to ensure sustainable long-term growth and it is also considered to be a strong foundation for human development. The current financial system in South Africa does not include all members of society, especially low-income earners. Different factors attract the privileged members of society into the financial system and exclude low-income earners and the poor from participating in financial markets. The current legal framework and policies are inadequate in giving the poor and low-income earners access to the financial services and products offered by financial institutions. This article provides an analysis of legislation related to financial inclusion and discusses the role-players that significantly impact the inclusion of low-income earners in the financial markets. The barriers to financial inclusion will be discussed, and measures will be proposed to promote financial inclusion for low-income earners in South African markets. Furthermore, factors that promote financial inclusion, such as internet access, will be discussed.