Panama, for the second consecutive year, is the country with the highest percentage of women (37%) who enjoy financial inclusion, according to a Credicorp study carried out in eight countries.

At the beginning of March 2022, Credicorp published its annual report Gender Gaps in Financial Inclusion 2022 in the region, in which it studied the differences between men and women in terms of financial inclusion in Argentina, Bolivia, Chile, Colombia, Ecuador, Mexico , Panama and Peru.

The investigation detailed that Panama (37%) is followed by Chile (36%), followed by Argentina (28%), Ecuador (25%), Colombia (23%), Mexico (22%), Peru (14%) and Bolivian (11%).

“A person reaches the level of financial inclusion when they enjoy various financial products and services, use them intensively and generate an informed and positive relationship with the financial system,” the study specifies.

Findings in Panama

Silvia Noriega, sustainability manager of the Credicorp Group, spoke with La Estrella de Panamá and explained that the study has made it possible to identify that in Panama there are gender gaps in financial inclusion indicators, mainly in access and use.

The study detailed that 52% of Panamanian men have access to a savings account not linked to a card, compared to 49% of women who have one. Regarding the possession of debit cards, Panama is the country with the highest participation of women (50%) with this product.

The gap is highlighted when the possession of credit cards is observed, since it is 30% of men against 23% of women who have one. On the other hand, there are no gender gaps in the possession of digital wallets, since it is 46% of men and 47% of women who own this product.

Regarding the use factor, 51% of Panamanian women use banking means to make payments for products and services, while there is 58% of the male population that does this. Similarly, it is estimated that on average Panamanian women carry out eight financial transactions monthly, while men carry out 10.

Regarding “perceived quality”, men and women have the same level of trust in the financial system (53%), with Panama being the country where its citizens show greater confidence in its banking sector compared to the other countries studied.

The gender gap today

Silvia Noriega stated that “the existence of the gender gap in the financial industry is a reflection of the aspects of gender inequality that exist in society in terms of cultural, social, economic and political levels.”

“This is also manifested in access to financial services,” he added. “There are many aspects that have to do with our idiosyncrasy, our customs and traditions. You have to understand that generations also evolve, along with the beliefs and roles that people have in life. The gender gap in the financial industry is one of the manifestations of the gender gap that exists in the world and society in general,” she said.

A joint work

Noriega reported that “the financial industry has enormous potential to increase inclusion in its sector.”

“When we start to look at and separate the data by gender, we realize that women are actually less included. The financial sector has a potential and an opportunity to understand and analyze what is happening with this gap, where are those beliefs and challenges and take the necessary measures to make a difference”, she added.

The study published by Credicorp for the second consecutive year “allows us to understand what are the pending tasks to achieve financial inclusion and the challenges that must be faced to close the gender gap”.

Credicorp’s sustainability manager explained that this depends not only on financial entities, but also on the state and society.

“This is everyone’s job. To eliminate these differences, the state is required to create inclusion, financial education, and digitization policies. It also requires a cultural change, either promoting the role of women as leaders of the household economy as positive, that they can undertake, be businesswomen and see it as a positive impact on society”.

Measures of the financial sector in Latin America

Noriega explained that in order to attack the gender gap, “you must understand the reality we live in in order to interpret it, search and work in an articulated way to attack the problem.” To this he added that carrying out annual studies “allows opening the eyes of different sectors of the territory, so that they contribute their grain of sand to close this gap.”

In the case of the financial sector, several Latin American countries have decided to take action. “In Peru, there is a microfinance institution that has created a product called “Crédito Mujer” which is specifically aimed at women entrepreneurs,” she said.

“This is due to the fact that in this country many women had problems when they wanted to access a loan because the signature of their spouse was required,” she explained. “When creating this product, the signature is omitted, said requirement to access a loan. Thus, more than 165,000 credits of this type have been granted in recent years and more women are encouraged to have businesses”.

Colombia also took action in this regard. Credicorp’s sustainability manager explained that many Colombian women did not have a credit history to support their ability to pay, in this case, the financial institution created the “Mujeres Pa’lante” credit where they were given a series of credit challenges. savings to the female population in order to interpret their credit rhythm.

In Panama, the financial inclusion and education law stands out “where it has become mandatory to teach about the subject in schools. This gives young people an idea of ​​how to manage and take care of their money, set goals, create budgets, learn about investment, (…) all these issues are important from an early age and allow them to achieve financial inclusion,” reported Noriega.

“The idea is that each country can identify those barriers that it presents in terms of the financial sector and the gender gap and create a product that allows attacking the problem. It is about having the will and openness to understand where the obstacles are, study the reality and generate solutions”, she concluded.

The positive impact of reducing the gender gap

Noriega reflected on the positive contributions that the world will have in terms of reducing and possibly eliminating the gender gap in the financial sector: “These changes will allow us to see more empowered women with a greater participation in the household budget and in the economy of the country, which will be a model for the children and will help to build a less macho population due to moderation of behavior towards our children”.

Credicorp’s sustainability manager offered a reflection: “In macro figures, the countries with the greatest differences between men and women are those with the highest levels of conflict or insecurity. Societies where there is greater gender equality are more prosperous, peaceful, and egalitarian. For there to be prosperity, there must be equal opportunities for all people and the financial sector is a space where you can work towards that inclusion and gap reduction”.