The Digital Divide and the Financial Inclusion of Women: Evidence From African Countries

Financial inclusion is an area of growing global interest in women’s empowerment policy and programming. While increased economic autonomy may be expected to reduce the prevalence of intimate partner violence, the mechanisms and contexts through which this relationship manifests are not well understood. This analysis aims to assess the relationship between women’s financial inclusion and recent intimate partner violence using nationally-representative data from 112 countries worldwide. Levels of both financial inclusion and recent intimate partner violence varied substantially across countries (ranging from 2–100%, and 1–46%, respectively), and across regions. In multivariate global analyses, increased levels of women’s financial inclusion were associated with lower levels of recent intimate partner violence after accounting for asset-based enablers of economic autonomy and gender norms; this relationship was lost upon the inclusion of measures of national context (i.e., development and fragility). These results underscore that the relationship between financial inclusion and recent intimate partner violence is complex, follows many pathways, and is affected by context. In low and middle income countries, asset-based enablers of economic autonomy, gender norms and national context explained much of the relationship between financial inclusion and recent intimate partner violence. In those low and middle income countries with high levels of controlling behavior by male spouses, financial inclusion was associated with higher levels of recent intimate partner violence. These findings further suggest that initiatives that aim to prevent intimate partner violence by way of increased economic autonomy may be ineffective in the absence of broader social change and support, and indeed, as seen in countries with higher levels of men’s controlling behavior, backlash may increase the risk of violence. Efforts to improve women’s financial inclusion need to recognize that its relationship with intimate partner violence is complex, and that it requires an enabling environment supportive of women’s rights and autonomy.

<p>L’inclusion financière est l’ensemble des dispositifs mis en place pour permettre aux particuliers et aux entreprises, qui sont exclus du circuit bancaire classique, d’accéder et d’utiliser des produits et services financiers adaptés à leurs besoins. L’inclusion financière permet aux populations pauvres de financer leurs activités, d’épargner et de subvenir aux besoins de leur famille.</p> <p>Plusieurs études Cull et al. (2014) ont prouvé l’impact significatif de l’accès et de l’utilisation des services financiers sur la vie des particuliers et des entreprises ce qui va entrainer par la suite à la croissance de l’épargne, l’augmentation de l’investissement productif, de la consommation, la réduction de la pauvreté et de l’autonomisation des femmes.</p> <p>Les personnes pauvres et vulnérables, en particulier les femmes sont les plus exclues et font face à de grandes difficultés pour accéder aux services financiers formels.  L’écart entre les hommes et les femmes est plus important au Maroc. Selon BAM, (2019), seulement 34% des femmes marocaines ont accès à un compte bancaire contre 66% des hommes.  L’inclusion financière est donc une opportunité et une nécessité, mais se trouve néanmoins freinée par un certain nombre d’obstacles.</p> <p>L’objectif de cette étude est d’étaler et d’analyser les entraves à l’inclusion financière des femmes à travers une étude quantitative en utilisant le logiciel SPSS.  Cette étude a montré que parmi les principaux obstacles à l’inclusion financière des femmes : leur ignorance des services financiers, les facteurs culturels ou religieux, manque de provisions ou aversion aux crédits.  Pour renforcer l’inclusion financière des femmes, il faut améliorer la qualité des services financiers  afin qu’ils correspondent aux besoins de toutes les classes sociales et particulièrement des femmes, la vulgarisation de services et des produits financiers destinés aux femmes, l’éducation financière, qui constitue un des piliers de l’inclusion financière, ce qui  permet aux femmes  de connaitre les produits et services financiers et  les aide à prendre des décisions financières avec moindres risques et enfin l’utilisation du Mobile Banking qui est considéré comme un accélérateur de l’accès et de l’utilisation des services financiers, qui consiste en des transactions bancaires effectuées depuis un téléphone mobile qui permet de  palier à la faible pénétration des services financiers formels et lever les barrières imposées par les circuits classiques qui pénalisent une large clientèle en particulier les femmes.</p>

Globally, there is a gap in financial inclusion between men and women. Bridging this gap is imperative considering the impact of women’s financial inclusion on poverty eradication, household socioeconomic development, and attainment of related Sustainable Development Goals. Inline with the Nigerian government’s efforts at scaling up financial inclusion and bridging the gender gap, this study assessed the level of women’s financial inclusion in Nigeria. It hypothesized that correlates vary between urban and rural Nigeria. Data from 36,601 women aged 18 to 49 were extracted from the 2018 Nigerian Demographic and Health Survey. The data were analyzed at univariate, bivariate, and multivariate levels. Results show the prevalence of women's financial inclusion at 20.7%, 18.5%,and 22.2% at the national, urban, and rural levels, respectively. Women without education, whose husbands also had no education, and the poor were more financially included in rural areas but least in urban areas (p< 0.05). Education, wealth, and religion were significant correlates of financial inclusion in rural areas (p< 0.05), but not in urban areas. Therefore, strategies to scale women’s financial inclusion should be cognizant of the rural-urban differentials.

This study investigated women's empowerment and its impact on female account ownership, using selected sub-Saharan African countries as a case study from 2011 to 2021. The central research question covers whether women's empowerment has any impact on the financial inclusion of women in sub-Saharan Africa, with an emphasis on account ownership by women as a yardstick to measure financial inclusion. The selected women empowerment variables comprised the percentage of the total labour force, namely female labour force (FLF), equality in the rights to ownership of property (EOR), non-discrimination of women in employment (NDW), choice of where to live by women (CWL), mean years of schooling of females (MYS), and women political empowerment (WPE). By means of pooled ordinary least square regression, using the fixed effects estimation model applied to the panel data from 38 sub-Saharan African (SSA) countries with available data for the period 2011 to 2021, as reported on the three-yearly database, this research was able to establish the impact of some of the selected variables of women empowerment on female account ownership in SSA. This study hinges on the undeniable potential of women to lift Africa from multi-dimensional poverty since a greater proportion of household consumption is contributed by the income of women rather than men in Africa. The authors, therefore, recommend, among others, that African governments should invest in policies that will encourage gender equality and women's emancipation to boost women's empowerment, which is the gateway to enhanced financial inclusion of African women and the attendant gain of accelerated poverty reduction in Africa.

The financial inclusion of women has become an important issue for the academic community and policymakers as it is one of the crucial factors for the development of women’s entrepreneurship. This study examines the impact of socio-demographic factors on women's financial inclusion in the Western Balkans (Albania, Bosnia and Herzegovina, Croatia, North Macedonia and Serbia). The data from the Global Findex Database 2021 were used. Financial inclusion is measured by the financial inclusion index modified by the inclusion of digital payments variables. The sample consisted of 2,683 women from the Western Balkans region. Multiple linear regression was used to examine the influence of age, education, employment status and income on financial inclusion. The results indicate that education, employment status and income have a positive influence on women's financial inclusion. However, an inverted U-shaped relationship was found between age and financial inclusion, suggesting that inclusion increases up to a certain point and then decreases.

This study attempts to examine the effect of women's participation in self‐help groups (SHGs) on their financial inclusion levels. A comprehensive financial inclusion index is created specifically suited to women by incorporating the concept of ‘autonomy’ in the usage of financial services. Adding this indicator with access and usage improves the practical effectiveness of women's financial inclusion as a means to a larger end. Further, objective weights have been assigned to the financial inclusion indicators through the application of the Criteria Importance through Inter‐criteria Correlation (CRITIC) method. The effect estimation is examined using propensity score matching (PSM) to gauge a true effect assessment free from self‐selection bias. The results are also checked for robustness using inverse probability weighted regression adjustment (IPWRA). Drawing primary data from 450 respondents from the Barak Valley region of Assam, the study establishes the importance of ‘autonomy’ in determining women's financial inclusion and finds SHG participation to be effective in enhancing the holistic financial inclusion of women. Underscoring the potential of SHGs in the upliftment of women, the study recommends regular monitoring of existing SHGs, besides expansion policies, to prevent group inactivity. To enhance women's financial autonomy, it is also suggested to conduct frequent training programmes on rights awareness, boosting self‐efficacy for financial management and self‐sufficiency in addressing financial challenges.

An attempt at validating the notion of whether women's access to financial services through mobile payment enhances their empowerment necessitated this study. Mainly, it focuses on the extent to which mobile payment can contribute to financial inclusion in the context of Palestinian women, which seems to be sparse and lacking in the literature. A quantitative approach was employed using 147 questionnaires designed based on the theory of planned behavior and reflective model for measuring financial inclusion. The research found that with successive increases in mobile payment usage, financial inclusion further increased. Precisely, the growth of mobile payment usage by 1 percent can improve women's financial inclusion by 0.449 percent. By increasing women's financial inclusion, women's economic empowerment could be effectively and positively improved, which boosts productivity, increases economic diversification and income equality, and other positive development outcomes.

PurposeWomen's financial inclusion has become a global research agenda, and past studies provide mixed evidence on the determinants of financial inclusion among women entrepreneurs across the globe. However, the impact of digital financial literacy on women's financial inclusion has seldom been addressed in the past literature.Design/methodology/approachThe authors perform a cross-sectional analysis of 144 countries using the World Bank Global Findex Database.FindingsThis study’s probabilistic regression results indicate that women entrepreneurs with a higher degree of digital financial literacy are more likely to engage in formal banking channels.Practical implicationsThe study findings have practical implications in terms of allowing regulators and banks to draw effective policies to attract women customers. Lack of effective regulatory intervention could lead to women exploring financial crimes, such as money laundering, due to their lack of involvement with the formal banking channel.Originality/valueThe authors explore the impact of digital financial literacy on women's financial inclusion. Such evidence is rare in the existing literature.Peer reviewThe peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-04-2022-0277

Digital financial services present unprecedented opportunities for the financial inclusion of vulnerable sections of society by overcoming the barriers of cost, distance, transparency, and by providing financial services tailored to their needs. Despite rapid strides in the digital financial inclusion in India, women face barriers to access and usage of digital financial services. The study uses secondary data to examine the regional profile of the gender gap in digital financial inclusion in India. The analysis shows that the economic development of the state does not determine the gender disparity in digital financial inclusion. The study also identifies key barriers to women’s access to digital financial services. Based on a primary survey of women in rural and urban areas the study shows that digitalization can help enhance women’s social and financial autonomy. Hence, these findings suggest that a gender sensitive approach to financial inclusion is imperative for the success of policy initiatives.

This paper aims to contribute to the existing body of knowledge on the socio-economic effect of financial literacy on the financial inclusion of women. By shedding light on the importance of financial literacy and the barriers women face, policymakers, financial institutions, and organizations can develop targeted strategies and interventions to promote women's financial inclusion, ultimately leading to improved socio-economic outcomes and gender equality. This study employed the probit regression on the National Bureau of Statistics general households’ survey data to appraise the effect of financial literacy on financial inclusion of women in Niger State. The estimation result shows that financial literacy positively and statistically influences financial inclusion options (cash at hand, purchasing power, account ownership, bank access, and credit access) in Niger state. Similarly, education status, age, and gender are determinants of financial inclusion. The study concluded that financial literacy is essential for achieving financial inclusion among women. To encourage financial inclusion among women, the study recommends that the government should initiate programs that will train women and also include financial literacy education at secondary or tertiary level to teach skills and information on how to utilize and manage financial services and products. The Central Bank should also mandate that the financial institutions to establish customer financial advisory units to educate their clients on managing and using financial products and services available to them to create wealth, thus improving living standards

The topic of women's financial inclusion has gained international attention, and prior research has shown conflicting results about the factors that influence financial inclusion among Rural Women Entrepreneurs (RWE) worldwide. Nonetheless, previous research has seldom examined how women's financial inclusion is impacted by digital financial literacy and Digital Libraries (DLs). An individual with financial literacy is equipped with the information and abilities needed to make wise business choices. The ability of business owners to get the capital they need has a beneficial impact on the expansion of the national economy. Making sure vulnerable populations, including low-income RWEs, have affordable access to suitable financial goods and services is known as financial inclusion. The geographical region under investigation was the southern part of India. The participants in the study were 499 RWE from five different states (Tamilnadu, Kerala, Karnataka, Andra Pradesh and Telangana). A total of 259 respondents who used Digital Financial Goods & Services (DFG & S) using DLs and 240 respondents who did not utilize financial services took part in the survey. The statistical analysis compares the revenue of individuals who use DFG&S through DLs and those who do not use DFG & S. The annual savings exhibit a substantial disparity, shown by a T-ratio of 2.684 and a p-value of 0.015, which suggests a noteworthy difference at a significance level of 1.5%. Results indicate that those who answer save more money each year than those who do not react. On the other hand, the wealth parameter exhibits a T-ratio of 1.987 and a p-value of 0.123, indicating no statistically significant wealth disparity between the two respondent groups.

PurposeDespite its importance, the literature on women financial inclusion (WFI) remains fragmented due to the absence of a comprehensive review that consolidates the intellectual structure of the field. This paper examines the intellectual structure of the topic and gives a complete overview of the research undertaken so far in the field.Design/methodology/approachA bibliometric study of 235 Scopus-indexed publications, including citation analysis, keyword network analysis, co-authorship analysis and reference co-citation analysis using VOSviewer was performed.FindingsThe study identified major contributors to the field (the most prolific author was Ghosh, S.), the leading journals in the field (the World Development), the geographical locations where research in the field is concentrated (India is the leading country) and the organisations focussing on green consumer research (leading organisation: The World Bank, USA). In addition, four significant themes that describe the body of information about women's financial inclusion were found.Originality/valueThis study provides policymakers and academic scholars with fresh insights at a higher level into this burgeoning topic. Such insights would aid in the development of initiatives to address women's financial inclusion concerns.Peer reviewThe peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-06-2022-0438.

This chapter highlights both the scale of the challenge of closing gaps in women’s financial inclusion and the promise of digital approaches. Access to cell phones and mobile money platforms is growing, especially in developing economies, and is reaching rural and marginalized populations that have been traditionally excluded from financial services. However, gender gaps in mobile phone use persist, and about 500 million women worldwide do not own mobile phones. There is substantial evidence that the obstacles to women’s inclusion are not only technical, and that major barriers exist around adverse norms and poverty, in particular. Moreover, financial inclusion is not a panacea to women’s disempowerment. Still, a review of the evidence suggests that the digital innovations underway are demonstrating substantial potential, most notably through the use of mobile phones, and finding ways to bring women into the system via social protection and even wage payments. This is especially welcome given the very large numbers of women who remain excluded from financial services today – especially in sub-Saharan Africa and South Asia. While gender gaps are context-specific and depend on local norms and systems, it cannot be assumed that these will close over time. Deliberate efforts are needed, adopting a multidimensional approach that not only expands women’s access to digital financial services but that also works to transform harmful norms and build a strong enabling environment for expanding women’s economic opportunities.

PurposeThis study aims to investigate whether gender predicts financial inclusion and whether education can fill the gender gap in financial inclusion when controlling for the effects of supply side factors of financial inclusion in low-income economies.Design/methodology/approachThis study aims to investigate whether gender predicts financial inclusion and whether education can fill the gender gap in financial inclusion when controlling for the effects of supply side factors of financial inclusion in low-income economies.FindingsThe findings provided support for the gender gap in financial inclusion using the most basic measure of financial inclusion. However, using formal savings and access to credit, the gender gap hypothesis is not supported. Moreover, the results revealed that education reduces the gender gap in the basic form of financial inclusion. However, this study could not find any significant difference between men and women's financial inclusion in terms of saving at a bank or borrowing from a bank though men tend to save more than women informally.Originality/valueThe current study contributes to the literature by examining the role of education in the relationship between gender gap and financial inclusion when controlling for the effects of heterogeneous infrastructure and the supply side factors of financial inclusion among the selected countries.

The purpose of this article is to assess the influence of Mobile Money on the financial inclusion of rural women in the informal sector. Women's access to financial services is a key factor in economic growth and development. This work aims to measure the impact of mobile finance, mobile wallet and mobile payment on the financial inclusion of women. To this end, a questionnaire was administered to a sample of 98 rural women working in the informal sector. Data from the surveys were analyzed using SPSS software and subjected to the binary logistic regression test. From this investigation, the following results emerge: (1) mobile finance positively influences the financial education of rural women in the informal sector; (2) the mobile wallet contributes to an increase in the income of rural women in the informal sector and (3) mobile payment accelerates the access of rural women in the informal sector of Yagoua to financial services. 
 In order to further promote the financial inclusion of rural women, moderately literate, formerly excluded from the traditional financial system and working in the informal sector of Yagoua, it would be wise to find ways and means to enable them to access the services of formal financial institutions through Mobile Money.