## Women in Finance: An Economic Case for Gender Equality _IMF Blog, September 19, 2018_ ## Source details **Canonical URL:** [Women in Finance: An Economic Case for Gender Equality](https://www.imf.org/en/blogs/articles/2018/09/19/blog-women-in-finance) ## Other formats - [Markdown version](/en/blogs/articles/2018/09/19/blog-women-in-finance/index.md) - [Structured JSON version](/en/blogs/articles/2018/09/19/blog-women-in-finance/index.json) - [Bundle manifest](/en/blogs/articles/2018/09/19/blog-women-in-finance/bundle-manifest.json) ## Bibliographic details - Authors: Martin ihk, Ratna Sahay - Published: September 19, 2018 --- ### Overview - Women are underrepresented at all levels of the global financial system, from depositors and borrowers to bank board members and regulators. - Greater inclusion of women as users, providers, and regulators of financial services would have benefits beyond addressing gender inequality: it would foster greater stability in the banking system, enhance economic growth, and contribute to more effective monetary and fiscal policy. - The blog post is the first in a series stemming from the IMF’s research on gender; posts on technology and productivity will follow. ### Key statistics and findings - Women on average accounted for just 40 percent of bank depositors and borrowers in 2016, according to IMF survey results published this year. - Regional examples illustrating variation: - Women accounted for 51 percent of borrowers in Brazil. - Women accounted for only 8 percent of borrowers in Pakistan. - Empirical examples of benefits from increased financial inclusion: - In Kenya, women merchants who opened a basic bank account invested more in their businesses. - Female-headed households in Nepal spent more on education after opening a savings account. - Leadership representation in banks and supervision: - Women accounted for less than 2 percent of financial institutions’ chief executive officers. - Women accounted for less than 20 percent of executive board members. - The proportion of women on the boards of banking-supervision agencies was just 17 percent on average in 2015. - Regional distribution of female banking executives: - Sub-Saharan African countries had the highest shares of female banking executives. - Latin America and the Caribbean had the lowest shares. - Advanced economies were in the middle. - Relationship with bank stability: - Banks with higher shares of women board members had higher capital buffers, a lower proportion of nonperforming loans, and greater resistance to stress. - A similar relationship was found between bank stability and the presence of women on banking regulatory boards. ### Mechanisms and explanations - Four possible reasons why a higher share of women on bank and supervisory boards may contribute to financial stability: - Women may be better risk managers than men; - Discriminatory hiring practices may mean that the few women who do make it to the top are better qualified or more experienced than their male counterparts. - More women on boards contributes to diversity of thought, which leads to better decisions; and - Institutions that tend to attract and select women in top positions may be better-managed in the first place. - The authors find that the observed higher stability is most likely due to: - The beneficial effects of greater diversity of views on boards, and - Discriminatory hiring practices that lead to hiring better qualified or more experienced women than men. ### Implications for policy and research - The findings strengthen the case for financial inclusion of women to enhance economic growth and foster financial stability. - More inclusive financial systems can magnify the effectiveness of fiscal and monetary policies by broadening financial markets and the tax base. - The authors call for more research and better data to: - Explain how to achieve these benefits, and - Identify the conditions that facilitate the entry of women into leadership roles in banks and supervisory agencies. *Martin Čihák, Ratna Sahay; September 19, 2018 — Women in Finance: An Economic Case for Gender Equality* --- ## Content in this bundle - **雷曼兄弟事件十年——经验教训与未来挑战; IMF blog; 2018年9月5日** - [雷曼兄弟事件十年——经验教训与未来挑战; IMF blog; 2018年9月5日 (Markdown version)](/external/chinese/np/blog/2018/090518c.pdf.md){rel="alternate" type="text/markdown"} - [雷曼兄弟事件十年——经验教训与未来挑战; IMF blog; 2018年9月5日 (PDF)](/external/chinese/np/blog/2018/090518c.pdf){rel="external" type="application/pdf"} - **金融领域的妇女境况：性别平等的经济理由** - [金融领域的妇女境况：性别平等的经济理由 (Markdown version)](/external/chinese/np/blog/2018/091918c.pdf.md){rel="alternate" type="text/markdown"} - [金融领域的妇女境况：性别平等的经济理由 (PDF)](/external/chinese/np/blog/2018/091918c.pdf){rel="external" type="application/pdf"} - **女性と金融 男女平等を推進する経済的な理由; マーティン・チハク ラトナ・サヘイ著、IMFブログ, 2018年9月19日** - [女性と金融 男女平等を推進する経済的な理由; マーティン・チハク ラトナ・サヘイ著、IMFブログ, 2018年9月19日 (Markdown version)](/external/japanese/np/blog/2018/091918j.pdf.md){rel="alternate" type="text/markdown"} - [女性と金融 男女平等を推進する経済的な理由; マーティン・チハク ラトナ・サヘイ著、IMFブログ, 2018年9月19日 (PDF)](/external/japanese/np/blog/2018/091918j.pdf){rel="external" type="application/pdf"} - **Женщины в финансовой сфере: экономические аргументы в пользу гендерного равенства** - [Женщины в финансовой сфере: экономические аргументы в пользу гендерного равенства (Markdown version)](/external/russian/np/blog/2018/091918r.pdf.md){rel="alternate" type="text/markdown"} - [Женщины в финансовой сфере: экономические аргументы в пользу гендерного равенства (PDF)](/external/russian/np/blog/2018/091918r.pdf){rel="external" type="application/pdf"} --- ## References - [عربي](https://www.imf.org/ar/News/Articles/2018/09/19/blog-women-in-finance) - [Português](https://www.imf.org/pt/News/Articles/2018/09/19/blog-women-in-finance) - [https://www.imf.org/wp-content/uploads/2018/09/BLOG-1024x600-womeninfinance2-Sebastiao-Mareira-Newscom-efephotos555641.jpg](https://www.imf.org/wp-content/uploads/2018/09/BLOG-1024x600-womeninfinance2-Sebastiao-Mareira-Newscom-efephotos555641.jpg) - [Our new study](https://www.imf.org/en/Publications/Staff-Discussion-Notes/Issues/2018/09/17/women-in-finance-a-case-for-closing-gaps-45136) - [IMF survey results](http://data.imf.org/?sk=E5DCAB7E-A5CA-4892-A6EA-598B5463A34C) - [https://www.imf.org/wp-content/uploads/2018/09/eng-september-6-women-in-finance-4.png](https://www.imf.org/wp-content/uploads/2018/09/eng-september-6-women-in-finance-4.png) - [https://www.imf.org/wp-content/uploads/2018/09/eng-september-6-women-in-finance.png](https://www.imf.org/wp-content/uploads/2018/09/eng-september-6-women-in-finance.png) - [paper](http://www.imf.org/en/Publications/WP/Issues/2017/09/07/Banking-on-Women-Leaders-A-Case-for-More-45221) - [https://www.imf.org/wp-content/uploads/2018/09/eng-september-6-womeninfinance2-3.png](https://www.imf.org/wp-content/uploads/2018/09/eng-september-6-womeninfinance2-3.png) - [Ending Harassment Helps #TheEconomyToo](https://blogs.imf.org/2018/03/05/ending-harassment-helps-theeconomytoo/) - [Banking on Women Leaders: A Case for More? IMF Working Paper](https://www.imf.org/en/Publications/WP/Issues/2017/09/07/Banking-on-Women-Leaders-A-Case-for-More-45221) - [Chart of the Week: Educate Girls and Women to Boost Equality](https://blogs.imf.org/2018/08/22/chart-of-the-week-educate-girls-and-women-to-boost-equality/) _Source: https://www.imf.org/en/blogs/articles/2018/09/19/blog-women-in-finance_