Why Female Inclusion Matters in the Payments Industry
The representation of women in decision-making roles within the financial sector falls below 25% in 37 out of the 55 countries analyzed [1]. This significant disparity in representation raises concerns about potential gender biases influencing decision-making processes and discussions on gender-related matters.
Female Economic Power and Market Growth
It’s crucial that we acknowledge the economic power behind the female demographic. As we have highlighted in previous posts, current figures show [2] that women contribute to $20 trillion of consumer spending annually, a figure that is expected to rise to $28 trillion by 2028. Meanwhile, the income earned by women is calculated at $13 trillion, which is similarly predicted to increase to $18 trillion in the next five years. This means that recognizing and optimizing women’s access to financial services will only strengthen the global economy.
The Barriers and Challenges in Female Financial Inclusion
From a consumer perspective, today’s financial providers fail to cater to the needs of women on low incomes, at least in part because of a lack of understanding of this demographic. The result is some 1 billion people are unable to access essential financial services [1]. A general lack of financial literacy, the absence of formal identification, and the inability to build a digital footprint are all significant factors.
Female Inclusion Will Drive Innovation
Turning to female representation in senior positions in the financial sector, hiring policies have evolved and improved significantly over the past few years but there is still some way to go and the financial sector is far from a quadrant leader in this regard. Based on research conducted by IDEX Biometrics, the majority of female consumers are willing to embrace new technologies, such as the biometric smart card, in the interest of promoting seamless, secure, and inclusive payments. As financial institutions onboard, empower, and promote women into senior roles, they will benefit from broadened creativity and talent, fuelled by a more balanced gender perspective which should begin to address the limitations of current C-suite perspectives.
Fingerprint Sensors and Biometrics Support Inclusion
By switching to payment cards with integrated fingerprint sensors, financial institutions can redress the balance and deliver financial inclusion to previously underbanked women without compromising transactional security. Biometric cards are easy to use, regardless of literacy level or financial understanding, and they are innately resilient against the risk of fraud.
As the presence of talented women in influential positions grows, we can accelerate the move towards a fair and balanced society with appropriate changes to policy, heralding a truly inclusive financial sector.
Resources:
[1] https://www.eiu.com/n/gender-and-financial-inclusion/
[2] https://exchangepress.com/eed/news_print.php?news_id=2348
