Role of Financial Literacy Programs in Empowering Women-Led Startups: A Gender Equality Perspective
Author : Dr. K. Suchitra, Dr. R. Sutha and Dr. H. Kavitha
Abstract :
Women-led startups play a vital role in promoting inclusive economic growth; however, persistent gender-based constraints such as limited financial knowledge and restricted access to finance continue to hinder their growth and sustainability. In this context, the present study examines the role of financial literacy programs in empowering women-led startups and advancing gender equality, with a specific focus on Coimbatore District. Using a structured schedule, primary data were collected from 380 women entrepreneurs, selected through stratified random sampling. The study employs mediation analysis to examine whether empowerment mediates the relationship between financial literacy programs and gender equality. The results reveal that financial literacy programs have a strong and significant positive effect on the empowerment of women-led startups, and empowerment, in turn, has a significant positive impact on gender equality outcomes. The indirect effect of financial literacy programs on gender equality through empowerment is statistically significant, while the direct effect is not, indicating full mediation. These findings suggest that financial literacy programs contribute to gender equality primarily by enhancing women’s financial and managerial empowerment rather than through direct effects. The study empirically validates empowerment as a critical mechanism linking financial literacy initiatives to gender equality and aligns with the objectives of Sustainable Development Goal 5- Gender Equality. The findings offer important policy implications for designing gender-sensitive financial literacy programs aimed at strengthening women-led startups and promoting inclusive entrepreneurial development.
Keywords :
Financial literacy programs, Women-led startups, Empowerment, Gender equality, MSMEs.
