Financial inclusion serves as an effectual tool to reducing poverty and
improving welfare of generality of the masses thereby attaining inclusive
growth. This study has been informed by the mission of World Bank Group to
achieve universal financial inclusion. The study analyses the drivers of financial
inclusion and its gender gap in Nigeria using The Global Findex 2011 dataset.
The study adopts Binary Probit Model and technique of Fairlie decomposition
to realize its objectives. The empirical findings suggest that youthful age, better
education and high income improve the chances for households to be financially
included whereas old age, female and low income reduce the likelihoods for
households to be financially included. The decomposition results confirm the
existence of gender gap in financial inclusion in favour male households, to
which education (particularly secondary) and income quintiles 2 and 5,
contribute significantly to the explained gap. Focusing on these significant
determinants of financial inclusion during formulating and designing policies
would be useful in improving financial inclusion in Nigeria