What is Driving Women's Financial Inclusion Across Countries?

Abstract

Using a broad set of macroeconomic country characteristics to supplement a new and comprehensive micro-level dataset for 140 countries, we identify structural factors, policies, and individual characteristics that are associated with financial inclusion-in general, and for women in particular. We find that structural country characteristics, such as resourcerichness and level of development, and policies, such as stronger institutions, and financial development are significantly related to financial inclusion. We find a robust negative relationship between being female and financial inclusion as in previous studies, and our analysis points to legal discrimination, lack of protection from harassment, including at the work place, and more diffuse gender norms as possible explanatory factors.

Financial Inclusion in India: Does Distance Matter?

“…The threshold age is observed to be in the range of 55–70 years and is typically lower in case of access as compared with use. 8 In addition, we find that higher levels of education improve the likelihood of being banked to the financially excluded, and that the formally banked are characterized by respondents who are active in the labour force (Delechat et al, 2018). In addition, the evidence shows that the financially included banked enjoy a higher standard of living, as measured by higher income.…”

“…This gender gap in financial inclusion, primarily in respect of account ownership, has been widely highlighted (Demirgüç-Kunt et al, 2013, 2018). Using an international sample, Delechat et al (2018) report a gender gap of roughly 2 per cent for emerging market economies. Financial inclusion is typically lower in rural areas reflecting, among others, higher transaction costs and a relatively less favourable contracting environment, which makes it challenging for financial institutions to ensure sustainability (Lopez & Winkler, 2018).…”

“…Financial inclusion is typically lower in rural areas reflecting, among others, higher transaction costs and a relatively less favourable contracting environment, which makes it challenging for financial institutions to ensure sustainability (Lopez & Winkler, 2018). Third, age has a non-linear relationship with both financial access and use: thus, while older people are more likely to be financially included, after a certain age, the probability of being financially included diminishes (Delechat et al, 2018; Demirgüç–Kunt et al, 2018; King, 2012). The threshold age is observed to be in the range of 55–70 years and is typically lower in case of access as compared with use.…”

Economic Inequality and Masculinity–Femininity: The Prevailing Perceived Traits in Higher Unequal Contexts Are Masculine

“…That is to say that there is a connection between lower social class and femininity (H2), as we proposed. Additionally, economic inequality and gender inequality are not only closely related with each other (Seguino, 2010; Aslan et al, 2017; Deléchat et al, 2018), but it is also the case that, in countries with higher gender inequality, there are more men who support hostile sexist ideologies, thereby driving women to support benevolent sexist ideologies (Glick et al, 2000). Due to these relationships, it can be interpreted – and addressed in future research – that high levels of economic inequality may facilitate the maintenance of sexist ideologies and traditional gender stereotypes, at the expense of men and women, in comparison with low levels of economic inequality.…”

Financial Inclusion and Bank Competition in Sub-Saharan Africa

“…3 Allen, Demirguc-Kunt, Klapper, & Peria, (2016) is the closest reference to our paper and uses a similar individual-level database from 123 countries for year 2011 to find a significant relationship between political stability, legal rights and other institutional variables on financial inclusion. Also, Delechat, Newiak, Xu, Yang, & Aslan (2018) use a similar database to show the effect of institutional factors on women's financial inclusion.…”