Women benefit disproportionately more from effective movable collateral systems because women are less likely than men to own fixed assets. Women are simultaneously less likely to access and use formal financial tools and services, including credit. These asymmetries result in a $1.7 trillion (USD) credit gender gap among entrepreneurs. When women do receive credit, it is often in smaller amounts than their male counterparts. Accessing loans by using movable assets as collateral gives women greater opportunity to leverage capital they need for themselves, their households, and their businesses.
Given the recognized potential of movable collateral registries, Women’s World Banking has advocated for the creation of such systems. But what are the elements of a successful movable collateral registry? What are some of the challenges to a registry’s effectiveness at increasing women’s financial inclusion? This report showcases three movable collateral systems in countries selected on regional diversity, data availability, and demonstrated impact: Colombia, Ghana, and Laos.