Analysis of Gender Disparity and Financial Inclusion in Zimbabwe

Abstract

This study analyses gender disparity in access to financial services in Zimbabwe, explains why such disparities exist and gives recommendations for tackling the gender gaps. The study used data for account ownership, access to loans, savings and card usage for the years 2011 and 2014. Through an interpretivist philosophy and a descriptive analytical approach, researchers expound the nexus between gender and financial inclusion. Overall, our findings show a decline in financial inclusion in Zimbabwe over the study period. There is also a significant gender disparity in access and usage of financial services skewed towards men. The gender parity ratio is less than 1 for all categories except for informal savings where the ratio exceeds 1. The high rate of women exclusion was attributed to social exclusion, lack of financial literacy skills, lack of income, high unemployment rates, high bank charges, high lending rates, lack of trust in the financial sector, lack of resources by the government and high systematic risk among others. The study recommends that women tailored financial products for instance low interest rate loans and deposit accounts free of charge be offered to encourage saving, customer protection laws be strengthened through monitoring to ensure their implementation and partnerships be entered into with capacity building Non-governmental Organisations (NGOs) and donors for resource mobilisation and implementation of gender sensitive financial policies.