This paper examines the financial inclusion of women in the Philippines and their tax contribution from financial transactions.
Financial inclusion refers to a state wherein there is effective access to a wide range of financial products and services for all. This covers a wide array of financial transactions and products subject to certain types of taxes, such as on bank deposits, investments in bonds and stocks, life and non-life insurance, and similar products. Based on the 2019 Financial Inclusion Survey conducted by the Bangko Sentral ng Pilipinas, the share of adults with a formal account was higher among women at 34%, while only 24% among men. Likewise, the percentage of adults with savings and loans was higher among women at 55% and 38%, respectively, compared to 52% and 29% of men. The results from other financial inclusion indicators post higher numbers among women than men. However, a bigger percentage of males, or 51%, received payments than females (35%), reversing the gender gap in sending payments. This gap coincides with employment status as most of the payment received is in the form of wages and salaries.
The country performs well in terms of closing the gender gap and remains the top country in Asia, ranking 17th out of 156 countries in the 2021 Global Gender Gap Index of the World Economic Forum. Accordingly, it is one of the few countries where women’s access to financial services exceeds men’s. The reverse gender gap is driven by societal, cultural, and behavioral factors, not regulations targeting women.