Initiatives target gender disparity in financial markets
THE representation of women in Zimbabwe’s financial markets remains low, a challenge prevalent not only in Zimbabwe but also across the region and globally.
According to a Deloitte study, women held 21 percent of board seats, 19 percent of C-suite roles and 5 percent of CEO positions within financial services institutions at a global scale as of 2021.
The case is not different in Zimbabwe, although key stakeholders in the sector are taking initiative to increase the presence of women in financial markets. Of the Zimbabwe Stock Exchange-listed companies, for example, only 18 percent have women as directors while board representation for females in financial institutions stands at 2,8 percent.
In an interview with The Sunday Mail Business, Mrs Farai Mpofu, who has been in the financial services sector for 35 years, acknowledged the gender gap obtaining in Zimbabwe’s financial markets.
She opines the gap stems from an early age when young girls drop Mathematics subjects in high school, a situation that later manifests in financial markets boardrooms. This, she said, calls for the education system to improve on its approach to financial literacy and ensure children have an understanding of financial markets at an early stage.
Mrs Mpofu underscored the need for a relook at the recruitment criteria in the financial services sector to cater for women who show zeal to learn the skills within the field.
“Employers in the financial services sector must also have space that allows women to thrive and overcome some barriers experienced in their early stages,”she said on the phone.
“It is, therefore, important to broaden the recruitment criteria to include those who are willing to learn about financial markets, which will increase their participation and presence in the sector,” she said.
It is in this light that the capital markets regulator, the Securities and Exchange Commission of Zimbabwe (SecZim) has also taken the initiative to enhance financial literacy among women and improve their participation in the sector.
The regulator has hosted the Women in Capital Markets events and conducted investor education in schools, targeting both boys and girls to enhance financial literacy.
This month, SecZim, in partnership with the Reserve Bank of Zimbabwe and the Insurance and Pensions Commission, will conduct an awareness outreach programme in schools across the country to promote financial literacy and capital markets awareness.
Organisations like the Financial Markets Indaba, in conjunction with our sister publication Business Weekly, have hosted the Capital Markets High Schools Quiz Competition that exposes learners to the capital markets with the aim of inculcating in them a culture of saving and investing.
Specifically targeting women to help narrow the gap, FMI is hosting the Women in Financial Markets Conference in Harare on March 22, running under the theme “Empowering Women in Zimbabwe’s Financial Industry”.
The meeting will feature esteemed speakers and engaging discussion topics focusing on various aspects of leadership, entrepreneurship and achieving success in traditionally male-dominated fields.
“Historically, the financial and capital markets sectors have been male-dominated, posing significant challenges for women aspiring to leadership roles,” said organisers of the conference, FMI.
“Despite industry-wide efforts to promote diversity, women remain underrepresented in top positions across banking and finance, with the C-suite largely dominated by men.
“Recognising the need for greater gender diversity, the Women in Financial Markets Conference aims to provide professional development opportunities, practice management insights and networking opportunities for female associates within Zimbabwe’s financial industry,” said FMI.
Global and regional statistics show a low representation of women in financial markets, and Zimbabwe is no exception.
As of 2023, of the 19 banking institutions, only one had a female managing director, Nedbank Zimbabwe, which is headed by Dr Sibongile Moyo.
Out of the eight deposit-taking micro-finance institutions in the country, only one is headed by a female and this is the Zimbabwe Women’s Microfinance Bank, which has Dr Mandas Marikanda as its chief executive officer.
According to industry experts, the lack of female role models and mentors within banking and finance sectors contributes to the gender disparity in top roles.
To address this issue, many banks and financial institutions have implemented inclusive hiring and retention programmes. While such initiatives have improved hiring at junior levels, this has not been the case at mid and senior levels.
The Women in Financial Markets Conference seeks to bridge the gap by offering professional development sessions, practice management breakouts and numerous networking opportunities.
“The mission of the conference is to provide female associates with the opportunity to cultivate and deepen relationships with the leadership and female colleagues across Zimbabwe’s financial and capital markets sectors,” said FMI.