A study by the International Monetary Fund (IMF) suggests that having more women in leadership positions in banks and financial regulatory authorities would have improved the profitability and stability of the financial sector. Closing the gender gap on bank boards by just 10% would have had a similar impact as all other regulatory improvements .
While various theories propose that women’s risk-averse nature makes them better long-term bankers, the analysis does not provide conclusive evidence. The study supports the idea that if more women were in top positions, the financial world would be different. However, the finance industry still lags behind in achieving gender parity.
The excuse of a lack of female talent is debunked since women account for a significant number of graduates in economics, business, and social sciences. It is unfortunate that banks overlook the potential performance and stability benefits of providing more opportunities for women.
