Fintech, Female Employment, and Gender Inequality

Abstract

Fintech-new technology in finance that delivers financial services digitally-promises to promote financial inclusion and close the gender gap. Using a novel fintech data set, this study shows that fintech adoption significantly improves female employment and reduces gender inequality. The effect is more pronounced in firms without traditional financial access. Fintech not only increases the number and ratio of female employees in the workforce but also mitigates the financial constraints of female-headed firms. However, poor institutions and governance weaken such benefits.