The Role of Banking Digitalization in Promoting Financial Inclusion of Micro, Small, and Medium Sized Enterprises in Morocco

Abstract

This article analyzes the role of banking digitalization in promoting the financial inclusion of micro, small, and medium sized enterprises (MSMEs) in Morocco. In an increasingly globalized and rapidly changing economic environment, digital transformation has become a strategic lever for competitiveness, efficiency, and access to finance. Using a theoretical framework based on capability theory, transaction cost theory, information asymmetry, and disruptive innovation, the study examines how digital financial services such as mobile banking, digital microcredit, alternative scoring, and online payment platforms contribute to improving access to financial resources for MSMEs.

Methodologically, this research adopts a qualitative and narrative review approach, drawing on institutional reports (Bank Al-Maghrib, CGEM, HCP, Ministry of Economy and Finance) and academic literature published between 2019 and 2024. The selection criteria focused on studies and official data directly related to MSMEs’ access to finance, digital banking innovations, and inclusion policies in Morocco, while excluding purely technical papers not addressing financial inclusion outcomes.

The analysis highlights both the opportunities and limitations of this transformation. On the one hand, digitalization reduces transaction costs, enhances transparency, and fosters financial autonomy for MSMEs. On the other hand, structural constraints such as limited infrastructure, digital illiteracy, and regulatory delays continue to restrict its impact, particularly for informal and rural enterprises.

The paper concludes by proposing strategic recommendations for inclusive and sustainable digitalization. These include strengthening rural infrastructure, fostering public private cooperation, developing innovative financial products, and supporting entrepreneurs through training and mentoring programs. By leveraging digital tools, Morocco has the opportunity not only to improve MSME competitiveness but also to promote inclusive economic growth and integration into regional and global value chains.

Classification JEL: G21, G32, M15, O16, O17, O18, P34.

Paper type: Theoretical Research