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on Financial Literacy and Education |
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Issue of 2019‒03‒11
two papers chosen by |
| By: | Amadou N Sy; Rodolfo Maino; Alexander Massara; Hector Perez Saiz; Preya Sharma |
| Abstract: | FinTech is a major force shaping the structure of the financial industry in sub-Saharan Africa. New technologies are being developed and implemented in sub-Saharan Africa with the potential to change the competitive landscape in the financial industry. While it raises concerns on the emergence of vulnerabilities, FinTech challenges traditional structures and creates efficiency gains by opening up the financial services value chain. Today, FinTech is emerging as a technological enabler in the region, improving financial inclusion and serving as a catalyst for the emergence of innovations in other sectors, such as agriculture and infrastructure. |
| Keywords: | Sub-Saharan Africa;Financial services;Technological innovation;Financial inclusion;FinTech; Financial Technology; Financial Inclusion; Innovation; Sub-Saharan Africa |
| Date: | 2019–02–14 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfdep:19/04&r=all |
| By: | Abdelkrim Araar; Yesuf Mohammednur Awel; Jonse Bane Boka; Hiywot Menker; Ajebush Shafi; Eleni Abraham Yitbarek; Mulatu Zerihun |
| Abstract: | The attitudes toward risk of women and men entrepreneurs in micro- and small enterprises (MSEs) are analyzed, and the factors that influence attitude toward risk of MSE owners are investigated. The empirical analysis first uses the moment-based approach proposed by Antle (1987) to estimate the risk preferences of men and women entrepreneurs. Second, a regression model is employed to understand the correlates of attitude toward risk and to decompose gender differences in risk aversion using the Oaxaca-Blinder technique. The results clearly indicate that MSE entrepreneurs are risk-averse with a relative risk premium of 1.5%. Women entrepreneurs are slightly more risk-averse than are men entrepreneurs. Regression estimates show that entrepreneurs’ attitude toward risk is significantly correlated with age and experience, marital status, education level, financial literacy, wealth, sector, and business type. The gender difference in risk aversion is significantly explained by the predictor variables while the unexplained component is insignificant. This suggests that gender differences in risk preference are the result of disparities in socioeconomic factors rather than of biology. |
| Keywords: | risk aversion, gender, micro- and small enterprises |
| JEL: | D14 J16 M21 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:lvl:pmmacr:2019-05&r=all |