FinTech for Inclusive Growth: A Gender Perspective

Abstract

This study investigates how financial technology (FinTech) contributes to economic growth, focusing on whether it acts primarily as a mediator or a moderator within the finance–growth nexus. A composite FinTech index is constructed using Principal Component Analysis based on cross-country data for 2021, and the analysis distinguishes between High-Income and Non-High-Income economies following the World Bank classification. The results show that in developing and emerging economies, FinTech mainly serves as a mediator, helping to close structural gaps in financial intermediation and expanding access to financial services. In High-Income countries, by contrast, FinTech acts as a moderator, enhancing innovation and efficiency in mature financial systems. When financial inclusion is disaggregated by gender, the findings reveal additional nuances. FinTech fosters growth through inclusion for both men and women, but its effects are stronger for male account ownership in developing economies and more balanced in High-Income contexts. In general, the study contributes to the literature by developing a multidimensional FinTech index, clarifying its dual mediating and moderating functions, and introducing a gender-sensitive perspective that highlights the uneven distribution of FinTech’s growth benefits between income levels and genders.