Closing the Gender Profit Gap

Cátia Batista

Nova School of Business and Economics, IZA e NOVAFRICA

Sandra Sequeira

London School of Economics, CEPR e NOVAFRICA

Pedro C. Vicente

Nova School of Business and Economics, BREAD e NOVAFRICA

ISSN 2183-0843
Working Paper No 2104
Março 2021


We examine the complementarity between access to mobile savings accounts and improved financial management skills on the performance of female-led micro-enterprises in Mozambique. This combined support is associated with a large increase in both short and long-term firm profits and in financial security, when compared to the independent effect of each of these interventions. This support allowed female-headed micro-enterprises to close the gender gap in performance and financial literacy relative to their male counterparts. The main drivers of improved business performance are increased financial management practices (bookkeeping), an increase in accessible savings and reduced transfers to friends and relatives.

Descarregue o PDF do Working Paper aqui.