Dumani A. Markjackson, & Siaisiai Siloko Timipa

The study examined the effect of institutional quality on access to financial products and services in sub-Saharan Africa. In particular, it understudied the effect of political stability and no violence and regulatory quality on banking penetration in sub-Saharan Africa. Panel data spanning 2006 to 2021 was collated from 12 sub-Saharan African countries. The Durbin-Wu-Hausman specification test indicated that the Random-Effect panel model gave more appropriate and efficient outcome than the Fixed-Effect model. The results portend that regulatory quality exerts a significant effect on access to financial products and services in sub-Saharan Africa. The results also suggested that there is a positive relationship between regulatory quality and the number bank branches in the sub-region. Further findings reported that political stability and no violence exerts an adverse and statistically significant effect on access to financial products and services in sub-Saharan Africa. The policy recommendation is that, regulators need to carry out regulatory impact assessment to assuage adverse regulations and enhance the regulatory environment in the subcontinent. This should further be complemented with a functional judicial system, accountability, and concerted systemic fight against corruption. These may encourage political, economic, and social stability and create a stable and conducive climate for private sector growth and financial inclusion. Keywords: banking penetration, financial services, institutional quality, regulatory quality, political stability  0150