Journal • CITN Journal

Editorial Board

Editor-in-Chief

Professor Rafiu Oyesola Salawu

Department of Management & Accounting, Faculty of Administration, Obafemi Awolowo University, Ile-Ife

Managing Editor

Professor Godwin Emmanuel Oyedokun

Department of Management & Accounting, Lead City University, Ibadan, Nigeria

Editorial Board Secretary

Mary-Fidelis Chidoziem Abiahu

Director, Research and Professional Standard, Chartered Institute of Taxation of Nigeria

Editorial Board Members

Professor Chinedum Nathaniel Nwezeaku

Federal University of Technology, Owerri

Professor John Adeoti

Nigeria Institute of Social and Economic Research (NISER), Ibadan

Professor Uche Jack-Osimiri

Faculty of Law, River State University, Port Harcourt

Professor Aruwa Suleiman Akwu-Odo Salihu

Nasarawa State University, Keffi Nasarawa State Nigeria

Dr. Eiya Ofiafoh Ofiafoh (Associate Professor)

Department of Accounting, University of Benin, Benin City, Nigeria

Dr. Stephen Chukwuemeka Mark Abani

MCSA Worldwide Projects Limited, Abuja, Nigeria

Dr. Kenny Adedapo Soyemi

Department of Accounting, Olabisi Onabanjo University, Ago Iwoye, Ogun State, Nigeria

Professor Joseph Uchenna Uwaleke

Department of Banking & Finance, Nasarawa State University, Keffi Nasarawa State, Nigeria

Barrister Chukwuemeka Eze

Faculty of Law, Nasarawa State University, Keffi Nasarawa State, Nigeria

Mr. Simon Nwanmaghyi Kato

Federal Inland Revenue Service, Chairman’s Office, Abuja, Nigeria

SYNERGIZING DIGITAL FINANCIAL INCLUSION AND TAX REVENUE FOR INCLUSIVE ECONOMIC WELL-BEING IN NIGERIA

Description

SYNERGIZING DIGITAL FINANCIAL INCLUSION AND TAX REVENUE FOR INCLUSIVE ECONOMIC WELL-BEING IN NIGERIA

Authors

OLATINWO, Adesola Tairu and SAIBU, Olufemi Muibi

Abstract

Nigeria’s evolving digital economy presents new opportunities for inclusive development through digital financial inclusion (DFI) and improved tax revenue mobilization. While digital technologies enhance efficiency in tax administration, they also create challenges such as risks of exclusion and potential over-taxation. This study investigates the interactive effect of DFI and tax revenue on economic well-being in Nigeria, filling a key gap in empirical literature. Using annual data from 2000 to 2023 sourced from the World Bank and Global Findex, the study applies the Autoregressive Distributed Lag (ARDL) model to capture short- and long-run dynamics. DFI is measured through indicators of access, usage, and availability, while tax revenue is represented by tax-to-GDP ratio, direct and indirect collections, and efficiency measures. Economic well-being is proxied by a composite index covering income, employment, and living standards. Findings reveal that while DFI and tax revenue positively influence well-being in the long run, their interaction produces a negative effect when tax burdens rise excessively, thereby undermining the benefits of inclusion. The results highlight the importance of balanced fiscal and digital policies that foster equity, avoid regressive digital taxation, and ensure that financial access translates into real welfare gains. This study offers practical insights for Nigeria’s pursuit of the Sustainable Development Goals (SDGs), particularly poverty reduction, decent work, and reduced inequality.

Keywords: