Does Gender and Socio-Economic Status Matter in Financial Access and Usage? A Pooled Cross-Sectional Analysis Exploring Traditional Vs. Digital Trends
Rupsa Ghosh and Meenakshi Rajeev
Abstract
The paper aims at analysing the different determinants driving the level of financial inclusion in India, specifically looking through the gender dimension. The study addresses both the traditional and digital indicators of financial inclusion, taking care of the access and usage dimensions. It uses 2014,2017 and 2021 FINDEX database for a pooled cross-sectional analysis and further uses a multinomial probit model, representing different levels of financial inclusion through different categories to identify the factors that significantly influence them. Interestingly, this study found against our preconceived notion that gender does not play any significant role in influencing financial access. However, with respect to usage (through traditional gateways or digital one), gender is a relevant factor. Among few prominent observations, age shows a non-linear relation with financial access and usage and higher education is a common predictor of financial access and usage through both traditional and digital modes. Income quite interestingly does not come out to be significant regarding access to credit. The study also brings up a comparison between pre-COVID and post-COVID financial behaviour and thus unfolds many such intriguing insights, making ways for appropriate policy prescriptions.