Intensifying Financial Inclusion Through the Provision of Financial Literacy Training: A Gendered Perspective
Koomson, I., Villano, R.A., & Hadley, D. (2019). Intensifying financial inclusion through the provision of financial literacy training: a gendered perspective, Applied Economics, DOI: 10.1080/00036846.2019.1645943
18 Pages Posted: 7 Aug 2019 Last revised: 15 Jan 2020
Date Written: July 25, 2019
This study examines the impact of financial literacy training on financial inclusion and its intensity using data collected from a randomised control trial. An additive index of financial inclusion is generated from four financial inclusion indicators. After testing for baseline balance and estimating impact, our findings show that beneficiaries of financial literacy training are about 7.2 percentage points more likely to own an account while they are 8.2 percentage points more likely to save. Overall, beneficiaries of financial literacy training had a 9.5 percentage points advantage in receiving financial assistance than their non-beneficiary counterparts. While financial literacy training only showed a significant impact on account ownership for female-beneficiary households, male-beneficiary households also only experienced an impact in their savings behaviour and receipt of financial assistance. Moreover, beneficiaries of financial literacy training are more likely to intensify their financial inclusion and the intensity of inclusion is higher for male and young beneficiary households. The results highlight the need to strengthen financial literacy training in order to close the gender financial inclusion gap.
Keywords: Financial inclusion; financial literacy; gender; impact; poverty
JEL Classification: C93; D14; D91; E21; G00
Suggested Citation: Suggested Citation