Showing posts with label gender. Show all posts
Showing posts with label gender. Show all posts

Wednesday, May 30, 2018

“It is easy for women to ask!”: Gender and digital finance in Kenya

NEW article by Sibel Kusimba in Economic Anthropology 5(2). Special Issue Theme: Finance, 10 May 2018 for her IMTFI-funded project, Group versus Individual Strategies: Dynamic Social Networks of Mobile Money among Unbanked Women in Western Kenya.

Abstract
This article examines the role of gender in the use of digital finance in Kenya, including the well‐known case of mobile money but also the emerging use of smartphone apps, payment tills, digital credit services, and digital fund‐raising computer programs. Development professionals have explicitly feminist goals in bringing digital finance to women in the Global South. In several recent reports, they outline the belief that gender norms are a barrier to women's use of finance. They hope digital finance will bring women agency and control over money and consequently shift restrictive gender norms. This article offers a critique of these assumptions based on ethnographic conversations, a diary exercise, and network self‐portraiture conducted in Kenya in 2016 among both rural farmers and urbanites. Adopting a distributed agency perspective, the ethnographic study demonstrates that Kenyan women and men use digital finance not to seek individual control of their money but to produce themselves as connected and trustworthy members of financial groups and collectivities. Gender norms may not hinder women from finance but rather enhance and deepen women's and men's financial relationships and bring women success in amassing funds.

Fig. 1: Consolata, headmistress of a school in rural Western Kenya, draws her social/financial networks.

Article
During a March 24, 2017, webinar on women and financial inclusion, experts from Innovations for Poverty Action (IPA) expressed disillusionment with microcredit as a poverty alleviation tool. Globally, microfinance has reached more than 200 million borrowers, two‐thirds of them women (Garikipati et al. 2017), but the hosts explained that microloans were not leading to “higher incomes or more product investment” (Innovations for Poverty Action webinar, March 24, 2017; see also Banerjee et al. 2015; Roodman 2011). The webinar hosts suggested a new approach: digital finance delivered via mobile phones. They proposed that digital finance could bring women empowerment, control, and agency and lead to positive social change: “We want to create financial tools that will create agency and control for women and shift gender norms.”1

Through reports, studies, and research evidence, development professionals are articulating a new project to bring digital finance to women in the Global South—especially poor and rural unbanked women. They are using data sets of bank account ownership and studies of household economics, including women's bargaining power with husbands (Agarwal 1997), to claim that social and gender norms are barriers to women's agency with money (CGAP 2017a, 2017b). Development thinkers hope that digital finance on mobile phones will “rapidly connect women to digital financial services that enable them to more easily store, transfer, secure and build value digitally, beyond money payment transfers” and that digital finance will bring “empowerment and equitable decision‐making in households” (Gates Foundation 2015, 2; see also Innovations for Poverty Action 2017).

How fitting are development understandings around finance, technology, and gender for Kenyan women? This article defines finance as relations between people, money, and time that are “grounded in practices of everyday life” (van der Zwan 2014, 102). In Kenya, financialization—as I define it, the increasing use of everyday finance—often relies on digital channels and has emerged as a meld of formal (provider‐designed) and informal (user‐innovated) sources. Formal products designed for the low‐income and unbanked include digital credit via mobile phones. Informal user innovations with apps and services are equally if not more common, such as WhatsApp fund‐raising and money pooling and circulation through M‐Pesa, a money transfer service.

In this article, I describe the cultural practices and meanings around gender that influence people's engagement with digital finance. I question the idea that the value of digital finance for Kenyan women is resistance to social and gender norms. My critique centers on the idea of agency. For the development professionals of the IPA webinar, agency is a quality of individuals. It is a noun, “something one has” or does not have (Gero 2000, 34), and from a liberal feminist perspective, it implies autonomy, emancipation, and resistance to social norms (Mahmood 2001). Rather, I suggest that the agency of Kenyan women is profitably viewed as a way of acting and being in particular settings—as “the condition and constraints under which we pursue our goals” (Enfield 2017, 3). This broader view draws attention to agency as joint action in groups, as distributed through relationships between people and material systems (Burrell 2016; Enfield 2017; Pettit and Schweikard 2006).

To access the full article - go to original post:  https://anthrosource.onlinelibrary.wiley.com/doi/abs/10.1002/sea2.12121 or "Recent Publications" on Professor Sibel Kusimba's website: https://sibelkusimba.com/publications/




Monday, November 27, 2017

Mobile Money: The First Decade - NEW white paper

By Stephen C. Rea and Taylor C. Nelms

"Mobile Money: The First Decade" White Paper - 34pp.
IMTFI Fellows Jude, Sangaré and Kusimba at Day 3 Workshop (2014) 

Over the past decade, mobile phone-enabled financial services, such as those made famous by the Kenyan mobile money platform M-Pesa, have been heralded as a means of poverty alleviation and financial inclusion. The mobile platform represents an exciting possibility as a delivery channel for digital financial services and as a technology that, like money, connects people with one another. Indeed, mobile money has thus become a central pillar of a global and internally heterogeneous—although by-now mostly “market-driven”—financial inclusion agenda, bringing together many different stakeholders in international development and philanthropy, industry (including telecommunications, banking, technology start-ups, and more), multinational aid and regulatory organizations, government, and academia.

Yet mobile money deployments around the world have not had unequivocal success. In this working paper, we survey lessons from the first decade of research into mobile money, focusing on an archive of studies produced by fellows funded by the Institute for Money, Technology & Financial Inclusion (IMTFI), based at the University of California, Irvine. We specifically target insights about mobile money users’ everyday social, cultural, political, and economic practices. We suggest that the ethnographic sensibilities of mobile money researchers have enabled attention to mobile money’s real use cases, while demonstrating how those use cases are context-specific and dependent on material, political, and sociocultural conditions that are often not replicable. At the same time, however, this literature has been characterized by a lack of systematization and comparative insight. Often explicitly aspiring to replicate and scale specific innovations, mobile money professionals (like those in across the development world) make constant use of comparisons across contexts. Many of these comparisons mobilize categories familiar to social scientists: culture, history, locality, inequality. We see the case studies produced by IMTFI researchers as contributing to an explicitly collaborative project that lays bare these assumptions of comparability, as well as their limits. It is our hope that this synthesis will be beneficial for mobile money’s various stakeholders.

Mind Your Ps and 2s

We describe mobile money’s primary use case—P2P money transfer—and argue that both the “Ps” and the “2s” of this model (mobile money’s “peers” and the technological and social infrastructures that intermediate them) must be understood in context. We find that the complexities involved in introducing and scaling mobile money, shared across contexts, resist distillation and are not going away. They include infrastructural maintenance, liquidity management, and coordinating interaction among all of the people in the system, from users to agents to service providers to regulators. From a practical perspective, we insist that such complexities are best thought of not as “pain points” to be bypassed or “frictions” to be smoothed over, but challenges to be carefully and regularly attended to in ways that put history, culture, and politics front and center: not as buzzwords, but as windows onto the variables that make a difference—differently in different times and different places—in shaping uptake and use of both money and technology.

Insights from the Research Archive

In what constitutes the bulk of this paper, we outline ten insights from the IMTFI research archive that demonstrate these contextual complexities. These insights have to do with:
  • agent networks; 
  • physical infrastructure; 
  • location, place, and space; 
  • kinship and family; 
  • gender and gender inequality; 
  • class, caste, and rank; 
  • religion and ritual; 
  • time and tempo; 
  • government and regulation; and 
  • the persistence of both cash and non-currency stores of value. 

If indeed the comparative categories of social science—history, culture, and politics foremost among them—are now being embedded in the strategies, operating procedures, and even self-presentation of global development, then it’s up to us to specify the contours and content of those categories. For each, we attend to the gaps between the hopes for and realities of mobile money’s impact thus far, as well as some of the fissures that have emerged among mobile money’s different stakeholder groups.

Concluding Thoughts and Provocations

We conclude by raising issues that promise to be critical provocations for the next decade of mobile money research, making an argument for methodological diversity, and interrogating the limitations of the “financial inclusion” frame within which mobile money has been situated as a development intervention. If mobile money is, at its core, a technology of communication and circulation, it is also a central means of distribution and redistribution. What would it mean, then, to shift the conversation from debates over financial inclusion to questions about financial justice?

Read the full white paper: "Mobile Money: The First Decade" - (34pp.)

IMTFI Fellows Day 3 Workshop (2016)
View Flickr stream for more photos of and by IMTFI researchers

***
Read previous installments of the PERSPECTIVES blog series on Financial Inclusion:


We invite you to send comments to imtfi@uci.edu.

Monday, October 30, 2017

Advancing gender equality with mobile money - conferencing in Tanzania

By IMTFI Fellow Milcah Mulu-Mutuku (Egerton University, Kenya)

Fig 1: Gender Inequality Source:
http://www.chronicle.co.zw/wp-content/uploads/2014/06/gender.jpg
Gender inequality continues to be a defining feature in contemporary societies, especially in emerging economies. Despite great transformations in gender dynamics, there still exist glaring disparities between men and women in various aspects of life, ranging from students’ enrollment in institutions of higher learning to leadership positions in these institutions; from accessing job opportunities to power relations in the office space; and from interactions at household and community levels to participation in decision making arenas. On average, men are better positioned in this pecking order than women (UNDP, 2013).

Fig 2: Conference banner at DUCE Gate
The Dar es Salaam University College of Education (DUCE), a constituent college of the University of Dar es Salaam, organised the 1st International Conference on Gender Issues in Higher Learning Institutions on April 27-28, 2017 (view book of abstracts here), culminating with a visit to Mikumi National Park on April 29, in order to “explore and reflect on gender issues and on how best to redress them in the context of higher learning institutions with the aim of realizing human rights and gender equality as speculated in various national and international instruments.” Framed by the theme ‘Equity and Equality for All,’ the conference brought together over 100 attendees from over 20 countries. The inauguration speech was delivered by the Minister for Health, Community Development, Gender, Elderly and Children, Hon. Ummy Mwalimu (Fig. 3-Front row, center seated) on behalf of the Vice President of the United Republic of Tanzania, Hon. Samia Suluhu Hassan. This is an indication of the importance attached to this event by the Tanzanian government. The Ministry headed by Hon. U. Mwalimu has a directorate that is in charge of all gender equality related matters in Tanzania, making her the appropriate representative of the Vice President at this conference.

Fig. 3: Hon. Ummy Mwalimu (center seated) with other dignitaries,
keynote speakers, and a section of paper presenters (courtesy of DUCE)

Six keynote speeches were delivered, and 45 oral and four poster presentations were made. Presentations covered a wide range of topics, all touching upon gender issues. I had the opportunity of presenting a paper co-authored with Castro Gichuki* entitled, “Mobile money and financial inclusion in emerging economies: a strategy of addressing gender disparities in control of financial resources.” The paper advocated for use of technology in addressing gender disparities, and was based on a larger project funded by the Institute for Money, Technology and Financial Inclusion (IMTFI) of the University of California at Irvine that aimed to explore the influence of mobile money on women micro-entrepreneurs’ control of productive resources. Data were collected in 2016 using mixed methods, including questionnaires, object-centered focus group discussions, and in-depth interviews.

Control over productive resources and especially finances is culturally a gendered issue in favour of men in many emerging economies.

Fig. 4: Making a presentation (courtesy of DUC)
This has a negative impact on women’s economic activities, thus necessitating a search for strategies with the potential to remedy the situation. Difficulties associated with fighting gender disparities stem from the reality that these disparities are reinforced by some deeply held cultural practices and beliefs. Culture defines ‘codes of conduct’ among those who share cultural ties. Since it is socially transmitted, people who interact regularly share unwritten rules that govern life (Daher, 2012). These are not issues taught in school or through any education system; people inherently know and understand them through socialisation, shaping their way of thinking, behaving and expectations of others. Needless to say then, strategies that have the potential of eliminating or minimising gender disparities are those that are responsive to the culture of the people, and that can be easily integrated into existing social arrangements rather than conflicting openly with deep held beliefs and practices.

Considering technological progression and what it has achieved historically, it may hold the key to unlocking the dilemma of culturally reinforced gender biases and the mindsets that perpetuate them. The term ‘technology’ elicits thoughts of tools and instruments for enhancing human performance, shaping nature, and meeting human needs, and the accompanying knowledge about their use. A third component of technology that is not talked about as much is culture. As Vergragt puts it, “Use of technology is learnt, interpreted, and given meaning in everyday life” (2006:2). If found acceptable, technology is adopted and assimilated into the lives of people, slowly becoming part of their culture. Ask Kenyans today, and they wonder how they ever survived without M-Pesa! Why? Because the technology has become so entrenched in their lives that it has become part of their culture.

Once a particular technology has been accepted as a way of life, the oppressed or the disadvantaged in society can then use it to their advantage. A case in point is the ingenuity of women micro-entrepreneurs in the use of mobile money to gain control over business finances without conflicting with their husbands. We found in our study that women micro-entrepreneurs whose husbands had a tendency of interfering with business finances transacted secretly using mobile money services. These women paid for services and goods using M-Pesa and deposited money into their savings accounts secretly. Messages from the mobile money service providers were deleted immediately after the transaction to erase any evidence. This way husbands did not know, and could not keep track of, how much money the business was transacting. This was done to safeguard business money against misuse, a mission impossible for those transacting with cash. This then makes technology progression a crucial tool in breaking the gender disparity cycle.

Conference attendees were fascinated with the use of object-centered focus group discussions as a technique of data collection and were interested in understanding it better. This is a technique we used to stimulate conversations around the difficult topics of personal financial practices and culture. We used charts to prompt participants to think through their financial practices and to discuss their level of control over productive resources and the influence mobile money services had on their control and decision-making processes regarding the resources (for more information on this subject, please see our IMTFI blog: Object-Centered Focus Group Discussions: Stimulating Conversations on Mobile Money Practices and Culture.

Dr. Susan Murphy, one of the keynote speakers, led the conference participants in exploring the role of education in creating gender awareness and transformation. The unparalleled capacity of institutions of higher learning to act as spaces for transformation through a focus on excellence, critical thinking, and constructive engagement was acknowledged. These institutions have the opportunity to lead transformative thinking on gender identities and the social constructions of masculinities and femininities, a point affirmed by Dr. Su-mung Khoo, another keynote speaker. Nonetheless these institutions hold dominant biases and discriminatory perspectives specific to their communities that tilt the scales toward exclusivity.

As observed by Prof. Anne Looney, Prof. Anne Ferguson, and Dr. Amy Jamison (other keynote speakers), gender inequality in institutions of higher learning is an internationally observed phenomenon, with key leadership and academic positions being held by proportionately more men than women. Prof. Looney called it ‘a crisis of justice and a crisis of quality perpetuated by societal cultures and systems.’ We noted that nations have good intentions to create equal opportunities for both men and women, and even legislation is in place to that effect. However, in most cases these intentions are not translated into practice due to deep rooted biases and stereotypes. Therefore, Prof. Ruth Meena implored participants to change the narrative from barriers, challenges, and limitations to promoting enablers of gender equality. Some enablers that were identified included commitments by governments, roles played by gender and human rights activists, and technology.


Fig. 5: Paper presentation session in breakaway room TPC 106
 (courtesy of DUCE)

On the use of technology as a tool for addressing gender disparities, Dr. Conor Buggy pointed to the ‘blindness to gender’ in anonymized online teaching and assessment which allows all students to achieve their learning outcome without unconscious bias or prejudice from fellow students and teachers. This concurred with our assertion that mobile money technology progression is an asset, especially for women micro-entrepreneurs, for gaining control over financial resources and, to some extent, equalizing the playing field between men and women. Mobile money enhances privacy and autonomy of financial transactions due to its invisibility compared to cash, meaning women are able to transact without conflicting with male relatives who may hold the belief that control over financial resources is a preserve for men (Donovan, 2012). As society ‘drags its feet’ in addressing gender biases, women can continue providing decent meals for their families in an environment of peace afforded by mobile money technology.

References

Daher, M (2012). Cultural beliefs and values in cancer patients. Annals of Oncology, vol. 23(3). Pp. 66-69.

Donovan, K. (2012). Mobile money for financial inclusion. In T. Kelly and C. Rossotto (Eds.), Information and Communication for Development, pp. 61–73. Washington, DC: World Bank.

UNDP (2013). Humanity Divided: Confronting Inequality in Developing Countries, available at: http://www.refworld.org/docid/52fcc3fe4.html [accessed 18 July 2017].

Vergragt, P. J. (2006). How Technology Could Contribute to a Sustainable World. GTI Paper Series Frontiers of a Great Transition No. 8, Tellus Institute, Boston MA.


Read about her experience presenting at the Making Markets Matter Executive Training Program (May 2017).

Monday, May 29, 2017

Valuing Migrants and their Money

By IMTFI Fellow Carol Chan

Migrants are often discussed positively in terms of their economic value and labor value to countries of destination and origin. In this blog post, I draw on my research with migrant-origin villages in Central Java, Indonesia, to challenge this impulse to foreground migrants’ “economic” motivations and contributions. I do so by highlighting the important ways in which ideas about appropriate gendered behavior, familial obligations, and religious piety, shape the value of migrants and their money. These ideas about gender and morality powerfully shape the transnational flows of migration. It explains why despite highly publicized risks and costs to migrants and their families in terms of finances, health, and mortality, hundreds of thousands of Indonesians continue to migrate annually.

In Indonesia, many programs aimed at improving the welfare of migrants and their families take the form of financial education programs, funded and facilitated by state institutions and foreign-funded NGOs. These encourage migrants—often with little formal education and living in rural poor areas— to finance their journeys from banks as opposed to borrowing informally from moneylenders and relatives, as well as send remittances digitally, rather than physically carry cash home. My project looks at the limited impact of these programs, by examining why migrants and their kin continue to take on many of these financial and physical risks. To do so, I examined attitudes towards migration more broadly, because they are intimately linked to how migrant money is valued, not only in terms of an economic exchange value, but also in terms of the gendered moral values associated with the production and circulation of money. 

Transnational Migration from Indonesia

Like many other migrant-source countries, migrants’ financial remittances to Indonesia exceed foreign financial aid and investment combined. Indonesia’s six million migrant workers thus contribute significantly to the national economy, and are hailed in everyday and public discourse as “foreign exchange heroes” (pahlawan devisa). However, Indonesian state and recruitment agents promote migration not only in its economic promises and advantages, but also in terms of gendered, moral, and religious or spiritual development—such as representing migration in terms of carrying out a patriotic or familial duty. 

In speeches by state representatives to women preparing to migrate, where women are given advice about financial behavior, their vulnerability to certain vices or temptations is emphasized. For example women are told to “resist” the seduction attempts of their employers, not be “wasteful or extravagant” by spending money on cigarettes, drugs, or “sit[ting] happily in clubs.” However, spending money on drugs or cigarettes is not framed in terms of migrants’ health, but in terms of reducing “the possibility that one can send money to families in the homeland.” In 2013, former chief of the National Agency for the Placement and Protection of Migrant Workers said, “Remember, if you consume too much, you will accumulate debt, and this isn’t good for your future, and your family.” Notably, such advice is rarely, if ever, dispensed to migrant men. Framing women’s migrations in terms of their familial and national duties encourages selective public sympathy and admiration only for migrant women who appear to conform to the normative ideal of a good Muslim mother, wife, sister, and daughter (See Chan 2014). But do migrant-origin villagers share such gendered evaluations of migrants and their money? What are the consequences of such evaluations? 

Evaluating Successful Migrants 

When I visited migrant-origin villages in Cilacap and Yogyakarta, dominant narratives and definitions of migrant success appeared predictable and standard: success was typically linked to migrant money, and status-linked indicators of being modern, such as fashion, the latest motor-bicycle, car, or concrete houses. Many told me that migrants should not return or should be “ashamed” of returning to Indonesia, if they have not yet saved enough money to bring home. Migrants do physically carry back as much cash as they have or can carry, up to as much as USD 5000. Villagers thus had very high expectations for migrants to both send money home regularly and save enough to bring home. For example, Diah was a factory worker in Malaysia for two and a half years. During this time, she managed to pay back all the debt she owed her recruitment agent (the equivalent of 9 full months’ worth of pay), and her remittances paid for her father’s medical operation, and her two younger brothers’ education. Nevertheless, she saw herself as a migrant “failure,” in comparison to other “successful” migrants who managed to return to buy land, build houses, and open shops. 

Diah’s situation is the norm for Central Javanese migrants, where remittances may pay for everyday necessities, and migrants do not always return with large amounts of savings to build big houses and buy land, unless they had been working for more than five years. However, for migrant women in particular, their money was evaluated not only in terms of the houses or land it can buy, but in also in moral terms of how the money was earned or spent in socially desirable or undesirable ways. Even in cases where migrants do fulfil the checklist of what a typically successful migrant should be, they may still perceive themselves, or be evaluated by resident neighbors and peers, to be “failures” or “not yet successful.” 

This is because narratives of women’s financial success often included suspicion or doubt about the source of such wealth. Such gossip might include how some women’s remittances were “not halal” (religiously forbidden), or “hot money.” Neighbors imply or explicitly speculate that these women earned extra money from sex work or received it from rich foreign boyfriends or extra-marital lovers. While there are women who do obtain wealth from these sources, it is very uncommon. Former migrants and non-migrants may make such judgments based on the way female migrants dressed when they returned, but sometimes such gossip may have no basis other than sheer incredulity that a woman can earn so much abroad. Scandalous stories in national media, or through informal Facebook posts online, which “expose” stories of Indonesians “trafficked” into sex work, or Indonesian sex workers in Hong Kong or Macau, encourage and perpetuate such stories and stereotypes. While the sources of migrant men’s wealth was never questioned, migrant women’s financial success was often suspect and associated with immoral means, unless they managed to maintain good reputations as respectful family members in the village. 

Evaluating Migrant Failures

A common example of a migrant failure is one perceived to not send or bring enough money home, that results in clear material indicators of migrant wealth. Diah, as mentioned above, is an example. In these cases, migrant men were accused of spending too much of their money on gambling, drinking, or commercial sex overseas— activities considered by most Central Javanese Muslims as associated with male vice and sin. These activities were seldom explicitly condoned by migrant-origin villagers in Yogyakarta and Cilacap, although they might be tacitly accepted or tolerated to varying degrees. As mentioned previously, migrant women were typically accused of spending their earnings on consumer luxury items, foreign boyfriends, cafes, or nightclubs. 


In these scenarios, I sometimes offered an alternative explanation for why migrants may not be sending much money home. Migrants might be paying off their debts to recruitment agents, who may charge them exorbitant interest rates. Some employers, especially in the case of female domestic workers, might choose to illegally withhold migrants’ wages, or in the worst cases, not pay them at all. In response, people often either shrugged off my suggestions dismissively, or reluctantly agreed that this may be the case. In general, migrants’ kin and neighbors, especially for those who have never migrated or attempted to migrate overseas, tended to downplay or not consider the financial costs of migration. They often expected that these costs would be quickly and rather easily paid off by the comparatively high wages abroad. In Diah’s case, for example, a non-migrant neighbour suggested that she was not able to save much money because she had been spending money frivolously on clothes and going out. This was despite the fact that she declared spending almost all her money on paying back her migration costs, and her family’s daily expenses. 

Concluding remarks

Migrants are often labelled in mutually exclusive categories such as “economic migrants” or “refugees.” While such distinctions may be practically useful in contexts such as facilitating documented mobility, many scholars have shown that the “economic” is intimately part of social, cultural, and political contexts that give money, mobility, and other currencies their value. In different contexts of risky migration journeys, migrants’ aspirations for a better life is intimately linked to what they can gain from sending money home. Nevertheless, the very attempt to migrate with the intention to seek a better life for themselves and/or their kin is also socially valuable, where the risk of failure has significant consequences for migrants’ social position and respect. 

Financial education programs and advice by the Indonesian state are not enough to address the question of why its migrants continually embark on risky journeys, and why not all manage to send or bring home much money. Instead, financial risks confronting migrants and their kin are strongly related to the broader migration industry with highly uneven processes and regulations, where borrowing money from an ill-reputed recruitment agent or carrying cash home can be perceived as only one among many “normal” risks entailed in migration. State institutions should begin recognizing that the problems facing migrant workers are not simply reduced to a few errant or “bad” recruitment agents and employers, or whether or not migrants are being frugal with their spending. Instead, the problems are institutionalized. Besides bargaining for better laws surrounding precarious labor, state, NGO and public programs about migration’s benefits and risks should focus on practical and infrastructural aspects of migratory processes, including remittance transfers, wage payment, and work conditions abroad, rather than questioning or applauding migrants’ financial discipline and moral character.

Read Carol Chan's Final Report.
Photos by author.



Tuesday, March 14, 2017

My Smart Phone is a Love Trophy: On Boyfriend-Girlfriend Negotiations and the Tensions between Adults and Adolescent Girls in Digital Nigeria

By Jude Kenechi Onyima and Chinedu Francis Egbunike

Boyfriend wooing an adolescent girl with smart phone
at a bush path in Anambra Stateption
"….If you do not like him, why did you accept his friendship?’’ Chika’s friend asked her as they walked from school homeward. ‘‘I accepted because he bought me a Samsung smart phone," Chika replied.

Exchanges like the one above appeared in many of the stories we collected during our 12-month ethnographic research in Nigeria about the tensions between adults and adolescent girls regarding ownership and use of mobile phones. A majority of adults in our study agreed that feature phones (cheap phones meant for calls and text messaging) are appropriate for early adolescents, and that smart phones were acceptable for late adolescents, but with conditions. In contrast, a majority of girls felt that restricted access to mobile phones is an infringement on their autonomy and their quest to join the global community. Especially in Christian neighborhoods, adolescent girls have found allies in their boyfriends who provided girls with smart phones. This has connected adolescent girls, their boyfriends, and girls’ parents in an unexpected web of duplicity, interdependence and contradictions.

The intrigues that surround phone ownership and use by adolescent girls show how the mobile phone mediates how young people construct their identity, struggle for autonomy and their self-expression. It exemplifies how technology can create a new social culture. Smart phones, unlike feature phones, display symbolism which transcends economic or technological meaning. Apart from attracting prestige and the feeling of 'I have arrived,' they reveal emotional flows and connectedness.

As we observed in our study, boyfriends’ purchase of smart phones for their girlfriends consolidated boyfriend-girlfriend relationships in a unique way. As seen in Chika’s story above, a girls’ acceptance of a phone means acceptance of a relationship. By purchasing a smart phone, a boy extends his influence and control over a girl. In another example, Edna, a 16-year-old student, returned a Techno mobile phone to her boyfriend after six weeks when she heard that he purchased another phone for another girl. Similarly, Arinze insisted that Sandra must return the phone he bought for her when they broke off their friendship. Phone ownership among adolescent girls and their boyfriends therefore represents a new form of creating visibility, attachment and identity.

When Amaka, a 17-year-old caregiver, lost her phone, her worry was not about the phone but the strain that the loss would put on her relationship with her boyfriend Chidi, who could not afford to buy a new phone for her. For Amaka, accepting another guy’s gift of a phone entails shifting her allegiance away from Chidi. For boyfriends, providing a smart phone to a girl is a symbol of conquest over other potential intruders. A smart phone is a love trophy. Whose phone a girl accepts and also uses draws the boundary between those whose intimacy is desirable and those whose is not. The smart phone in the context of a boyfriend-girlfriend relationship is more than a technological innovation. Mobile phones acquire new meanings as they become embedded in relations of accountability, reciprocity and secrecy.

Adolescent girls comparing phones at high school
graduation party in Enugu State, Nigeria
A smart phone in the hand of an adolescent girl signifies the autonomy, empowerment and strength of her opposite sex friendship. In our study, over 87 percent of adolescent girls were using smart phones they did not purchase but were given to them. Most girls do not enjoy using feature phones and usually turn down men who could not acquire smart phones for them. Mobile phones could be given as birthday gifts, graduation gifts, lovers’ day gifts, appreciation gifts and gifts brought back from long distance trips. In contrast, feature phones and old phones do not evoke the same symbolism with regard to the quality of opposite sex friendship. Ninety-nine percent of phones bought from abroad were smart phones and they are highly symbolic. They show where a girls’ attachment lies and where her affection flows ‘’…I cannot put my phone in a bag except where I am not proud of it.” Mercy, a 16-year-old apprentice replied during one of our interviews:

 “…As you know, we girls compare a lot when we meet one other. In the past, we discretely compared shoes, jewelry, hairstyles and handbags. Today, it is our mobile phone. I flaunt it [the phone] to intimidate other girls and make my boyfriend proud….”.

Surprisingly, girls are not much interested in how the money is raised for acquiring the phone, or what lengths boyfriends go to in order to give phones to their girlfriends. Obinna, a 17-year-old student could not sit for his Senior School Certificate Examination because he used the money for his examination fee to buy a smart phone for his girlfriend who, incidentally, was his classmate. “…I did not want to lose her love to other men….” Obinna pleaded, in response to his parents and school authority’s queries about what happened to the money. Boyfriends do not take lightly the privileges conferred on them by purchasing smart phones for their girlfriends. They always check up on how the girls are using their phones. Adaobi, a 17-year-old hawker, fought with her boyfriend over access to the phone, refusing to tell him the new password and denying him access to it. Just like the phone that was smashed during their fight, so, too, was their friendship broken: “…Someone who did not bring money to repair the phone he bought earlier does not have the right to question what I do with the phone. He lost his privileges when another man gave me money to repair it, ”Adaobi retorted, as she justified her behavior.

Smart phones purchased by boyfriends have therefore become instruments of accountability and availability, as Erin Kenny observed in her research with Tanzanian University students (2016). Boyfriends expect explanations of what their girls do with their mobile phone. “….Nothing worries my boyfriend like seeing ‘user busy’ when he calls me. He expects me to put all other calls on hold and answer him first. He also monitors how long I spend on calls and with whom…” a 17-year-old female university student in our study narrated during an interview. Buying smart phones for adolescent girls gives boyfriends a special place in the lives of their girls. It shifts accountability for a girl’s phone life away from her parents and on to her boyfriend. When Aisha Mammud, our female researcher asked 17-year-old Fatima how frequently her parent accesses her phone, her response was immediate: “…I will not let them touch my phone at all.” However Fatima allowed her boyfriend access to her password and he goes through her contacts and phone logs for monitoring purposes.

A veteran pharmacist in one of the communities we studied insisted that her daughter must finish high school before she could use a smart phone. She was shocked to discover that her daughter was already using a smart phone for over six months - bought for her by her boyfriend. Just like other girls in our study, the daughter left her phone with her friend and sometimes hid it in the house. I had a similar experience of shock the day that I gave one thousand Naira (about $3) in airtime to three students in a Christian neighborhood, thinking that it was only one of them who owned a mobile phone. One of the students privately unzipped a section of her clothing to reveal a phone hidden in her underwear, while another ran towards her friend’s bag to pick up her phone that she had been hiding there.

Eighty-five percent of adults we interviewed did not want adolescent girls to use smart phones without first meeting parents’ requirements that girls first graduate from high school or reach age 18. Adults believed that smart phone use could work against girls’ concentration and learning as well as give access to unsafe knowledge. "Phones connected online are dangerous in the hands of adolescent girls...," a 54-year-old mother of three burst out at one school debate. Most adults, especially in Christian neighborhoods, believed that smart phones could drive girls into uncharted life adventures, what Mizuko Ito and her research team refer to as, "geeking out" (page 28), and thereby diminishing adults’ control. As one community leader with three grandchildren explained to us:

“…Any mobile phone not purchased by a known relative should be confiscated or returned. Early ownership of smart phones offers unchecked autonomy to adolescent girls; this is malignant due to their age. It makes them gullible to treacherous habits. A number of high school girls have died seeking after the promises of people they met through the phone…”

Sadiq, who purchased a feature phone for her daughter in order to prevent her from accepting a smart phone from a boyfriend, discovered that her daughter willfully damaged the feature phone in order to make room for a smart phone. The daughter changed the casing on the new smart phone her boyfriend bought for her to an old one and lied that it was a spoilt old phone she got from the outgoing school principal. In another case, a 52-year-old female teacher who insisted that her daughter should return the smart phone bought by her daughter’s boyfriend discovered nine months later that said phone had been hidden by her daughter and not returned after all.

An adult querying an adolescent girl over the source 
of the smart phone she was caught using.
Our in-depth interviews with adolescent girls and adults provided justification for why most parents frown on boyfriends’ smart phone gifts. There are incessant phone-related misunderstandings, violence, and battering. Men tend to take their privileges to the extreme. Girls who out of naivety accepted the offer from a boyfriend did not find it easy to exit the relationship when they became uncomfortable. A 19-year-old school dropout told us that she was raped by the man who bought her smart phone: “…Men do not believe in a free lunch; any kindness they show is an investment of which no pleading can deter them from raping.” She continued, “Many of us who accepted guys because of phone reasons regret the act and wished we were smarter." Some men insist that their smart phone should be returned to them whenever the relationship collapses and such tensions have generated issues involving police and community leaders. “…He has slapped me for allowing another man to use the phone he bought for me. He had seized the smart phone from me many times and had uninstalled whatsapp services in it to avoid my interaction with other men,” Amaka, an 18-year-old fashion apprentice revealed to us. When we inquired why some girls accept smart phones from men knowing these potential consequences, Muna, a 17-year-old university student, shared her views:“…They accept because it is a ‘smart phone’. It gives them identity, smart phones is freedom and reputation. It shows that you have arrived. A smart phone is a girl's best friend - it cures loneliness.”

Finally, our study revealed that phone-related quarrels occur every 72 hours in homes where there are adolescent girls. Adults have reservations about adolescent girls’ use of smart phones. Many felt uncomfortable, threatened, even perplexed, while others are resigned to the fact of girls using smart phones. Adults shy away from the task of preparing adolescent girls for the responsibilities entailed in the digital revolution. Meanwhile, girls have not relented in a bid to outmaneuver adults and their roadblocks. Highly religious people feel more threatened by adolescent girls’ use of smart phones and as a result, create more roadblocks to uptake. However, Christian adolescent girls have more opportunities to acquire smart phones from boyfriends than do their Muslim counterparts. Yet tensions appear to be greater in Christian homes. Tensions are also higher among urban than among rural poor.

The digital revolution has indeed altered adults and adolescent girls’ social identities and created a new social space mediated by smart phones. This change is common in Christian-dominant Southern Nigeria. Our study shows that under these circumstances, adults who can play a “midwifery role” in ushering girls into the digital age could achieve better results in ‘redeeming adolescent girls’ from irresponsible use than those who play resistant roles in restricting girls’ smart phone use. The peculiar role of smart phones in boyfriend-girlfriend relations is still evolving. What has become clear for many of our study participants, is that a new culture of juggling identities in this social space is here to stay. But for those participants who are not comfortable with the identity the digital revolution has assigned them, there is still much room for negotiation.

Read Jude Kenechi Onyima and Chinedu Francis Egbunike's final report here
        
References
Kenny. E (2016) “Phones means lies”: Secrets, Sexuality and the Subjectivity of Mobile Phone in Tanzania.  Economic Anthropology 3: 254-265. http://onlinelibrary.wiley.com/doi/10.1002/sea2.12062/abstract

Ito. M, Horst. H, Butanti. M, Boyd.D, Herr-Stephenson. B, Lange.P, Pascoe. C and Robinson. L (2008) Living and Learning with new Media: Summary of Findings from Digital Youth Projects. The John. D and Catherine. T MacArthur Foundation Reports on Digital Media and Learning. (November) http://digitalyouth.ischool.berkeley.edu/files/report/digitalyouth-WhitePaper.pdf

Tuesday, January 10, 2017

Influence of Mobile Money on Control of Productive Resources among Women Micro Entrepreneurs Participating in Table Banking in Nakuru, Kenya

IMTFI Researchers Milcah Mulu-Mutuku and Castro Ngumbu Gichuki's Final Report is available now on the ways that mobile money technology is contributing to women micro entrepreneurs' business strategies and control over productive resources in Kenya.

Dissemination workshop with women micro entrepreneurs
 and mobile money service providers in Nakuru town, Kenya
Report abstract
With mobile money technology being adopted, financial inclusion especially with regard to women and less educated is becoming a reality. In Kenya the high rate of adoption of this technology has resulted in more mobile money accounts than bank accounts. In this study we sought to determine whether mobile money usage influences control of productive resources among women micro entrepreneurs participating in table banking. The Government of the Republic of Kenya has been encouraging female entrepreneurship as one strategy of propelling the nation to the status of a newly industrialized country able to offer comfortable life to her citizens. Success in entrepreneurship is linked to control of productive resources yet this is a gendered aspect that favors men in much of the developing world. It is therefore imperative to document how women control these resources in the business context. A mixed data collection approach was adopted comprising a questionnaire administered to 392 respondents, two object-centered focus group discussions, and in-depth interviews with ten respondents. Questionnaire data were analyzed using frequencies, percentages and correlation coefficient while the rest were analyzed qualitatively. 

Important findings related to gender, discretion and control of resources
Mobile money technology has enabled women micro-entrepreneurs to control productive resources and especially business money. Results indicate that use of mobile money services influenced control of resources, especially those services that are easily integrated into existing social and business arrangements. Further investigations revealed that mobile money services have provided discreet methods of keeping business financial transactions shielded from husbands’ interferences. Interestingly, there was low usage of micro-savings and micro-credit services for table banking activities. Consequently, mobile micro-credit services had no significant relationship with control of productive resources. Qualitative data indicated that men are joining ‘women-only’ groups and are contributing new ideas and perspectives leading to investments in areas that are not traditionally for women.

Read their full report here

Their blog post on object-centered focus group discussions as a methodology to generate conversations with women micro entrepreneurs about their mobile money practices can be accessed here

Wednesday, April 20, 2016

The Double Gold Standard: Session One of the 2016 Conference


In director Bill Maurer's opening remarks for the annual IMTFI conference, he reviewed the history of the organization and how the interests of this unique interdisciplinary scholarly community had evolved over time in attempting to comprehend how digital or mobile payment might have "something to do with poverty alleviation."  His account began with a focus on the repayment of microfinance loans, with the assumption that ubiquitous digital tools might serve as a means to "keep track and repay" in a relatively narrow sector of the economy.  Maurer explained how the ideas about the interfaces of technology, money, and financial inclusion had "morphed" during the course of development of a scholarly community.  He also admitted that "payment is weird" and "arcane," because it requires explorations of obscure networks and "portals and rails of infrastructure," as in the case of mapping a Visa transaction.

For Maurer, "payment in relation to poverty" invites even more inquiry into complexity.  Thinking about payment platforms also may involve partnering with people from "government and industry" and addressing issues of risk and liability around access, fees, safety and security.  By supporting the "ground-level perspective" and giving attention to "voices from the field and the village," research about religion, ritual, belief, and social hierarchies has also become critical to IMTFI scholarship, since there may be occasions around payment mapping where "it matters what your elders are saying," or the existence of "people of high rank endorsing a service" may be critical.  Thus ritual specialists and oracles might be important in understanding uptake of new financial services.  He emphasized the need for scholars to "push the debate in industry and policy," which shaped the "insight and impact" theme of the conference.

As an illustration of how adopting new technologies is never easy, even in developed economies, he chuckled about the attempted rollout of EMV cards in the United States, which is now hitting its six-month anniversary.  He pointed out that at this point only about 20% of the readers needed were available, and he observed that the slow adoption at merchants' terminals could be attributed to many factors in behavior change from patterns developed over  30+ years of swiping cards.  Now that one must "put the chip in . . . and wait and wait . . . about that long," users may indulge in many forms of magical thinking, particularly since "the terminal has never spoken to you before," and conspiracy theorists might worry about invisible entities "stealing all your information" during the time lag.  Rather than seeing adoption as a friction-free switch ("just flip the lights on"), Maurer described it as "a lumpy process" and invited his fellow participants to critical thinking by urging that they "investigate those lumps."

The first panel on "The Sharing Economy? Women and Girls and their Ties and Tensions" chaired by Erin McDonald of Women's World Banking addressed what she called the "tensions that women experience" to "access resources," as they might be very broadly defined.  In many ways this panel proved to be as much about the very definitions of "success" and "value" in social as well as economic terms as much about the dynamics of gender.


Carol Chan of the University of Pittsburgh led off the discussion with her presentation on "To Send or to Carry? Gendered Evaluations of Formal and Informal Remittance Practices in Migrant-Origin Villages in Central Java, Indonesia."  By talking about "migrants and their money," Chan investigated how "meanings of migrant money" might not only be gendered but also indicative of the presence or absence of practices that mark how they use and earn their money in culturally important ways.  When grappling with such a high volume of transactions constituted by 8.55 billion dollars from 6 million temporary laborers, Chan had to develop a research methodology that addressed many types of volatility in returns, including "underpayment and nonpayment by employers" and susceptibility to "many risks and perpetrators" including customs officials.

Chan noted the moralistic tone of documents such as "99 tips" for how to be a successful migrant.  Such official messages might ignore the challenges of "the material contexts in which people live" in "culturally specific ways," because money can serve "as a religious and moral issue" and an expression of a good "Javanese-Musim" identity.  In an environment of constant social surveillance in which women might be evaluated more harshly, Chan was interested in addressing tensions.  For example, for migrants building houses, members of the community might question "who do they build it for?" and "where do they build it?" Furthermore, gendered moral ideas may be supported by many kinds of institutional discourses, including projections of piety in how they dress.  In pointing out that ideas about financial inclusion "are very gendered," even in supposedly neutral financial programs, Chan probed unexamined biases.  She emphasized that gendered and moral aspects were expressed in how women were "mainly addressed as wives and mothers who have to put their families before themselves" and challenged assumptions about families that took as a premise that women's incomes were to be seen as supplementary.

Chan described a range of forces at work, from religious ideas about Halal-permitted uses and the worldview that "money is a gift from god" to family expectations.  Often she recounted stereotypes in which male migrants were viewed as "more responsible" and "less flirtatious/rebellious." For example, despite the rigors of life for women who work in Tawain in factories, they might be viewed much more critically than male plantation workers in Malaysia.  Many transactions were formal Western Union-style transactions, but migrants might also carry large amounts of cash across great distances, from one thousand to five thousand US dollars at a time.  She found women were more harshly judged for not bringing money home, while men were pitied and excused for spending funds on seeming luxuries like cigarettes or energy drinks.  Often bias was justified by assumptions that women would be domestic laborers with free lodging and food, but men also benefited from the fact that men's wealth was taken for granted.  If women brought money home it might also be viewed suspiciously as a potential benefit from extramarital relationships or even sex work.

Investing in material goods was seen as less risky by the population she studied than saving, because land costs were rising and the currency was unstable.  With amusement she provided a survey of local attitudes about "which houses were funded by which currencies," including how houses built with money from Hong Kong, Korea, Saudi Arabia, and Singapore might be differentiated.  Even though "the houses look alike," gossips also kept track of how much individual siblings might have contributed to particular structures, as though it was a feature of the architectural design. In an environment of gossip, discussion, and judgment, "the materiality of what money can buy," as well as ideas about bad luck and divine retribution, seemed to shape the dynamics of a no-win situation for women who must fend off gossip and project hard work.  In contrast men "might be shamed but also excused."  Even good female providers faced "accusations of being bad mothers and wives," as they struggled with "fulfilling those expectations" and negotiating financial and moral risks.


"Group versus Individual Strategies: Dynamic Social Networks of Mobile Money among Unbanked Women in Western Kenya" by IMTFI veteran researcher Sibel Kusimba of American University used techniques of social network analysis and information visualization as a way to formulate research questions, present evidence, and point to new directions for inquiry.  (Readers should check out my previous blog stories about Kusimba's work here and here.)  She began with a sociogram of Edward, a man receiving remittances from children and recirculating them to other family members in his social graph such as siblings and mothers.  She showed how drawing network graphs might allow us to see central nodes.  However, she was dissatisfied with the fact that graphs did not indicate time and didn't deal adequately in economic complexity.  By using interactions with informants at regular intervals over time, which encompassed both persistent and variant transactions in dynamic social networks, she hoped to learn more about how transactions shape social ties and vice versa.

Kusimba had many reasons to invest research efforts in data from financial diaries, which would be complemented by questionnaires and observations. Such diaries allow researchers to understand cash flows and financial instruments and perceive a more diverse range of financial tools.  Thus it is more likely to see where new products could support existing needs. She cited the work of Daryl Collins of Portfolios of the Poor on how poor people manage money and manage positive value over time and compensate seasonal events and shocks.  For example, she noted how from participating in a maturity ceremony for adolescent boys (in research presented at a previous IMTFI conference), her informants managed changes in their non-cash assets, such as livestock.

Her methodology focused on 20 women in Western Kenya and represented their social roles in their  networks by mapping cash money, in-kind gifts, mobile money, and other assets.  She initiated visiting in December and visited women every two weeks.  Her subjects ranged in age from 23 to 74 and were mostly combining farming with many entrepreneurial activities including proprietorship of a "beauty saloon."  She laughed about the accident of having "captured the one percent," given the rarity of owning a car. Researchers had to have considerable discipline, because "the women are very busy; most of the time they are not home."

She showed the intricacies of the networks of Robai, a potter who was 500 meters from nearest M-PESA agent and provided a view of her home and the floorplan of household relations that demonstrated her proximity to the homes of two co-wives' houses.  Rather than use older models of kinship maps, she deployed visualizations of the independent strategies to understand "how people make decisions" and situate themselves in relationship to flows of "incoming and outgoing money." Such visualization techniques with the tools of network theory also made it possible to observe centripetal and centrifugal patterns of the flow of money, resources, and relationships.  This economy might include the secret places of a beer brewer or the uses of food plants by a woman. Wealth might be produced with her mobile phone, as well as with face-to-face interaction.

She also introduced the theme of the problems of mistranslation, carried over from nuclear family norms in the US.  In particular she argued that "seeing the household as a separate unit" was deeply problematic, at the most basic level because men might rear children at multiple domiciles. Moreover possible words for the "household" didn't always reflect the same social and economic grouping. She observed that there was actually no adequate word, because larger groupings like "Ekholo" (clan) were less slippery than "Mungo," which depended on a gendered. Because different words for family don't gloss for household, it was possible to commit communicative blunders when trying to translate words.

Furthermore, she asserted that a purely economic view of success was too limited, which charting the relationship between money and time could broaden.  Thus a woman's transactions might seem to show a pattern of negative cash flow but not be associated with impoverishment, because she had acquired considerable wealth in social capital during the process. By looking at how her economic capital might get traded into social capital, Kusimba argues we get a more capacious view.  In closing she cited the work of Ananya Roy on "bottom billion capitalism."


"Generational Tensions in the Uptake of Digital Financial Services: Adolescent Girls and Adults in Nigeria" by Jude Kenechi Onyima of Nnamdi Azikiwe University explored how financial adoption might be influenced not only be the issue of trust, which is common in elders, but also by generational conflicts.  Anemia lamented the fact that too frequently the 32 million adolescent girls in Nigeria were "lumped together with adult population.  The methods of his study focused on four communities -- half Christian and half Muslim -- with a focus on 120 randomly selected girls.  In gathering data he wanted to include informants from both northern and southern regions and from both urban slums and rural areas.  96% own feature phone, and 70% own both feature and smart phones. 78% of smart phones were bought by friends as birthday or lovers’ day gifts. "Adolescent girls use their phones basically for fun, peer-based learning, networking and occasionally for financial transactions." He reported that the average adolescent girl spends 4.5 hours daily on mobile phone.

He found adults were "not comfortable with adolescent girls using financial services short video phone and peer-based learning," because adults were annoyed with adolescent girls’ use of phones for a variety of causes, such as the  time spent with the phone, financial reasons, and the development of unauthorized relationships with unapproved males. Adults insisted on "no smart phone for early adolescent girls" and "monitoring: for late adolescents.  Adults also expressed concerns about "poor interpersonal relationship" skills, compromised status, talking more with strangers than with family relations, distraction, road accidents, secretive lifestyles, increased flirting, and the abandonment of  household chores

They identified three key areas of concern

- Social reasons: More pressure from opposite sex, can be cajoled into unwholesome behavior, poor interpersonal relationship especially with relatives, cyber bullying, cultural extinction, distractions from academic activities, spreading of gossips, road accident.

- Family reasons: abandon house chores, conflicting moral values(increases tendency to tell lies), conflict with family members, need to get money to buy data.

- Health reasons: snacking while pinging(obesity), less time for exercise, poor sleeping pattern owing to night chatting, postural disorder, vulnerable to internet use gaming disorder(aggressiveness & attention deficit).

Because teens saw their digital identities as part of their global citizenship and contemporary literacy, they resisted the strategies of control from their elders, and even learned to make their phones difficult to use.  Adults also needed to be ingenious and restricted adolescent girls to specific services and sites.  His research team also saw the nature of gifts received from opposite sex being transformed.  New gifts included airtime/data bundles, digital money, online purchases, customized gifts, videos, and electronic gadgets. Adults bemoaned increased flirting, a tendency to tell lies, and perceived materiality among girls.

He argued that it was important to resist broad generalizations, however. Christian girls might have more chances for uptake more than their Muslim counterpart, but the resulting tensions in Christian homes might also be an inhibiting factor. Tensions are also higher among urban poor than among the rural poor, where access might also be enhanced. Unfortunately the arguments/counter arguments about whether adolescent girls shall use digital innovations and norms about when to use them and how to use them were not considered in designing marketing campaigns by DFS (digital financial services) operators. Only 3% of adults were likely to encourage uptake of DFS among adolescent girls. "This represents a huge roadblock to adoption," he argues.

In discussion participants noted the importance of rapid change and how interactions are "very much in flux."  Their research on gender also encompassed different ages and education levels.  The theme of the importance of translation and the problem of lack of discussion of men and boys in panels on gender was also raised.  In closing, the value of comparison facilitated by IMTFI was lauded, as was their emphasis on a "monetary ecology" approach.


Monday, November 9, 2015

Mobilizing Religion as Value Storage: Islamic Microfinance in Bangladesh as a Model for Poverty Alleviation (Part II)

By IMTFI Researcher Bridget Kustin

PART TWO: Financial Vocabularies, Accounting and Calculation 

In my first post, I introduced my IMTFI-funded research into the Islami Bank Bangladesh Limited (IBBL) and its Islamic microfinance program for the rural poor, the Rural Development Scheme (RDS). I explored the slippages between institutional (here the IBBL) versus client understandings of the ‘Islam’ of Islamic microfinance. In this posting, I continue the discussion by addressing how a financial institution might not know its client because it does not fully grasp the assumptions and possibilities contained in clients’ financial vocabularies and their accounting and calculation practices in space and time. 


Children's clothes purchased for Eid ul Fitr are displayed;
social pressures make Ramadan and Eid periods of financial insecurity (2014).

Financial Vocabularies

Money was an omnipresent topic of discussion in the small town/rural slum community of Zinukpara, although conventional economic definitions for money categories and instruments (e.g. assets, investments, debt, and income) were not necessarily applicable. Material objects, relationships, or affects usually indexed by such definitions can be mobilized differently. For example, labh means ‘profit’ as well as ‘benefit.’ Clients might discuss the labh of an investment, debt, loan, or purchase in numerical or in social, religious, or emotional terms; certain transactions could never fit neatly onto a household profit-loss statement, if such a ledger were to exist. In another basic expression of money-usage in the context of debts and expenditures, taka (money) and shudh (interest) can be ‘eaten’ (khaowa, to eat), indicating irreversible, definitive usage, for instance:
  • Ex. 1, Client to RDS field officer: If you give us less money [than what we ask for], what do you expect? .... I will eat the money [khai felayun].
  • Ex. 2, RDS field officer to client: So you took the money, kept it at your house, and ate it? [khi feladay].
  • Ex. 3, Client to Bridget, explaining how RDS works: “We take [their] money for a year. We don’t eat their money. Of course we all make payments. It’s not good to create hardship [for the bank], that’s what everyone says.”
  • Ex. 4, Client asking the RDS field officer to accept a late repayment: You have to understand. If you do business, every day cannot be the same. But we have to give the [RDS] installment from the [business] labh [profit]. You are also a human being…you have to understand: if you have a stomach, you have to give to the stomach, and we also have to give to the stomach [pet’e to diaya foribo, onera o diya foribo]. And you have to give to someone else as well. 
Here, implicating the body frames money and interest not as ‘things’ to be taken (naowa), held (rakha, haowa), or used (babohar kora, kora), but a part of more intimate, embodied and irreversible actions entwined with the basics of sustaining life. This gestures toward the condition of poverty in which money is not necessarily a neutral medium of exchange with fungible choice in its applications, but is the medium of enabling sustenance and survival. In the third example, the counterposition of ‘taking’ versus ‘eating’ RDS funds distinguishes money that once used is gone forever and cannot be recouped or repaid from money that can be repaid. In the first example, the client explains to the field officer the difficulty in receiving RDS microfinancing that is less than the desired amount: the lower sum will be eaten and not repaid, as the amount was never enough to execute the desired income-generating venture in the first place. For this client, eating the money is part pragmatism and part punitive, as the bank should not expect to receive its money back if it is unresponsive to client needs.

This is not a question of reconfiguring ‘eaten’ money into outstanding debt or write-off-as-gift. Rather, “eaten money” exists as its own category — both as a kind of necessity, and a kind of wastage. Not all money is meant to be repaid, although this determination is made by the recipient and so is pointedly asymmetrical. Eaten money can carry its own costs, such as reputation, trustworthiness, or the ability to secure funds again from the eaten funds source. A household ledger bifurcated into incomes and expenses cannot contain this third, mutable category. 

Accounting and calculation 

Women are not necessarily the primary managers of their household accounts and RDS repayment obligations. Ameena, the leader of her RDS collective, keeps track of everyone’s debts through memory, and negotiates late payments with the field officer. As a result, managing very small amounts of weekly repayment and contributions into mandatory savings accounts — from about 0.60 USD to 4 USD — requires significant labor on the part of Ameena and the field officer. 

Part of what adds time to client-field officer encounters is the inaccessibility of calculative mathematics for clients, often compounded by the scarcity of written financial records. This is despite the fact that increasingly complex financial inclusion-oriented products require calculative mathematical ability on the part of the client, in order for the client to have a clearer picture of her obligations, assets, and financial status in time. Clients rarely use the calculators available on mobile phones as they use Arabic numerals rather than Bengali numbers. During the daytime repayment meetings, children who might otherwise be able to help with sums are typically at school or working. 

Sums and counting are performed verbally and often collectively, and the cardinal and ordinal numbering of time frames (whether weeks, months, or years) are situated against other measurements of the passage of time. These include the six Bengali seasons; events on the Islamic calendar, namely, Eid ul Fitr, Eid ul Adha, Shab-e-Barat, and Ramadan; and events such as a hospital stay, marriage, or child’s birth. 


A client passbook and bank ledger, detailing RDS accounts (2013)
Positioning myself within the community in the register of ‘participant observer’ meant engaging in a broad spectrum of relations, including the informal money-lending ubiquitous between relatives and neighbors. My own monthly financial inflows and outflows were likewise subject to daily discussion. This served to insert me into a household’s financial management processes. Thus, rather than recording a singular ‘true’ quantitative weekly or monthly accounting that existed in static form, our interviews captured the dynamic work of financial management as it took place within performative and technical acts of negotiations, diversions, bundling, and forestalling.  


The RDS passbook (2013)
In addition, when the women discussed their debts, three figures were usually cited with regard to the money owed: first, the original, principal amount owed. Second, the lender’s labh (profit), typically the interest amount. Finally, the lowest possible total amount that could be paid while still achieving closure of the debt. One rhetorical formulation I often heard encapsulates this latter notion: “if I owe 1,000 and pay 900, I still won’t get it” – with ‘it’ referring to the settlement or closure of a debt. 

Financial services offered by formal institutions are not set up to account for these processes. Similarly, conventional notions of household financial accounting that set debts/expenses against regular inflows are not applicable. Rather, these processes gesture toward a household ‘account’ as a shifting, multi-plane ledger where debt amounts (subdivided into principal and interest) are set against the lowest possible amount one can anticipate, strategize, or hope to pay, by leveraging time, external shocks (for either the borrower or lender), religious compassion, or other social or familial factors. The marginal gains from such reductions (and, on a related note, a consistent preference for round numbers and strategic rounding up or down to benefit the individual most in need) become part of broader financial management strategies in time. Loans exist as imminently repackageable into different sets of obligations — an enticement to a gold seller to bring one’s relatives to the shop, assurance to a shopkeeper that your business will stay with his store, appeals to an RDS field officer’s sense of Islamic piety and compassion for the poor.

Ultimately, my field research asks what it might look for an Islamic microfinance institution to take seriously the idea of people participating in microfinance, rather than just being subjects of it. This question then can be understood on multiple registers, from the socio-linguistics of financial vocabularies to technical aspects of calculation and record-keeping. And to ways in which Islamic notions about poverty, compassion, and social justice in economic affairs frame client relationships to the institution. 

Further readings:
-Part I of the blog, "Mobilizing Religion as Value Storage: Islamic Microfinance in Bangladesh as a Model for Poverty Alleviation". 

-Bridget Kustin's full Final Report 

-Islamic (Micro)finance: Culture, Context, Promise, Challengesa report by Bridget Kustin for Financial Services for the Poor, Bill and Melinda Gates Foundation. The report offers an introduction to the theological tenets of Islamic (micro)finance, a description of the most common products and services, and a global overview of the industry and its major institutions.