Updated: Oct 7, 2020
There are a lot of banks and financial institutions in the world, but not everyone has access to the services and products they offer. Financial inclusion — which is having access to financial products and services — is key to reducing poverty and developing the economy, so it should only be right that everyone is financially included.
However, according to a report by The World Bank, men are more likely to have bank accounts than women. Almost one billion women are unbanked globally, and this leaves them vulnerable in their day to day life, especially in times of crisis. This Women’s Month, let’s take a look at some of the benefits of having women in Financial Inclusion because this in itself is a step to ending gender inequality.
1. Empowers Women
Providing financial services and products to unbanked women does not only bridge the gender gap, an important step to ending gender inequality, but also help women feel more empowered. When financial choices are presented to women, they don’t feel as helpless regarding their situation in life. They are given the opportunity to elevate themselves and their family, which can improve their self-esteem.
2. Helps the Family
Mothers are known to be caring, and this shows in a research where it was proven that women spend more on their children’s education, health, and nutrition than on any other expense. If women have access to financial services and products, they can save money and invest — further improving their families’ well-being in the long run.
3. Provides Opportunities
When women are financially included, they can earn their own money through various economic opportunities. No longer do they have to rely on other family members for money because they now have the power to open up a small business or procure their own livelihood. Through these opportunities, they can make sure their families are financially secure.
4. Develops the Community
Once women decide to make use of the financial choices presented to them, they can foster financial growth within their communities through participation in the financial system. By improving their livelihoods, they can set an example that will have a ripple effect within their community.
5. Enhances Economic Growth
Because of financial inclusion, women’s productivity is boosted because they now have the means to earn and save money. Employment rates and educational attainment will increase, which will then contribute to a more inclusive economic growth.
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Bank-Genie Pte. Ltd. is a Singapore-based company incorporated in 2016. For banks and financial institutions who are driving towards digital transformation, Bank-Genie is a future-focused technology partner that helps enrichen the banking experience.
Bank-Genie has a proven record across markets of Asia and Africa with its Interceptive Banking Technology. Bank-Genie Pte Ltd is funded by SBI Ven Capital Pte Ltd and FMO, the Dutch Development Bank.