E-wallet For Empowerment?

Abstract: Digital Financial Services (DFS) such as mobile money apps, have become increasingly recognized as a tool to increase Financial inclusion. Access and usage of mobile money services are expected to be beneficial in more ways than one, but one desirable outcome is enabling women to have greater control over their own finances, and thus enhance Empowerment through increased participation in household decision-making. With data collected through a phone survey distributed to 189 women in Jordan, we attempt to investigate if E-wallets are effective in achieving Financial inclusion and, if we as a result, might see a positive effect on Women’s Empowerment. Impacts on Financial inclusion are measured through a description of how women use their E-wallets, along with an OLS-regression on the likelihood of saving. Empowerment effects are analyzed through a regression on different indicators meant to reflect decision-making in the household. We find some evidence that indicates that E-wallets users might be slightly more likely to have saved money in the last year, however, results regarding empowerment indicators are more unclear. When performing regressions on subsamples of unmarried women, and only employed women, we see some indications that the e-wallet might lead to an increased control of her own finances and expenditures, but this does not seem to translate significantly to other household purchases.