ALIDE and IDB organized a webinar about gender biases in financing women’s MSMES
- In the discussion participated representants of the Financial Alliance For Women, Comisión para el Mercado Financiero, the CNBV and Bandesal.
February 23, 2022- The Latin American Association of Development Financing Institutions (ALIDE) and The Inter-American Development Bank (IDB) organized a webinar “Gender Biases in financing Women’s MSMES” to share the particularities related about the gender biases in the financial sector and the way in which these have implications for the financial inclusion of women, through the granting of credits.
The gender consultant in the financial sector of BID, Karina Azar, referred to the diverse gender biases that exist and how these affect the process for granting credit to companies led by women, which are often seen as less profitable compared to male-led companies.
Azar emphasized how essential it is to give importance to gender topics from development banks, because these can become agents of change to have a multiplier effect in the work of mitigating the gender biases in the financial system and help to turn the issue into a public policy interest.
Also, added that women as credit applicants is a profitable market, which is not being taken advantage of the financial system. Therefore, Azar considered a data system important to handle segregated by gender to develop banking products more suitable for the needs of niche women entrepreneurs.
Public policy opportunities in gender biases
The executive vice-president of the Financial Alliance for Women, Rebecca Ruf, said that “gender biases involve opportunities to stimulate economic development, ending financial inclusion gaps for women and creating business opportunities for financial institutions”.
In this sense, the general director of Studies, Statistics and Data of Comisión para el Mercado Financiero (CMF) from Chile, Nancy Silva, shared data from the gender reports of her institution and emphasized the importance of measuring this problem in the financial service in order to develop public policies and actions focused to reduce the gender gaps.
Meanwhile, the general director for the Access to Financial Services of Comisión Nacional Bancaria y de Valores (CNBV) from México, Socorro Vargas, talked about the experience of her institution in the recollection and disclosure of gender-disaggregated information in the financial system. Vargas emphasized the relevance of monitoring and evaluation of policies focused on financial inclusion.
On the other hand, the boss of the Gender Unit of Banco de Desarrollo de la República de el Salvador (Bandesal), Rosa Hernández, explained the development of the program Banca Mujer and the change generated in her institution since the establishment of a gender policy among her personal. Also, training aimed at mitigating gender bias were started in other allied financial associations.
During the webinar also participated Juan Antonio Ketterer, boss of Connectivity, Markets and Finance Division of IDB, Edgardo Alvarez, general secretary of ALIDE, and Romy Calderón, boss of Research and Information of ALIDE, who highlighted the importance of gender perspective in the economic and social development of Latin America and Caribe.
ALIDE is the community of financial institutions that generates banking solutions for the development of Latin America and the Caribbean. Founded in 1968, its main objective is to contribute to the economic and social development of the region, through the good practices in development financing that it promotes among its associates, about 90 institutions with a presence in more than 20 Latin American countries and other regions of the world.
The Inter-American Development Bank – BID (Inter-American Development Bank) is an international financial organization based in the city of Washington DC (United States), and created in 1959 with the purpose of financing viable projects of economic and social development and institutional and promote regional trade integration in the area of Latin America and the Caribbean. It is the largest regional development financial institution of its kind and its origin dates back to the Inter-American Conference of 1890. Its central objective is to reduce poverty in Latin America and the Caribbean and promote sustainable and lasting growth.