Analysis of Gender Disparities in Access to Microfinance in Oyo State

Microfinance is widely promoted as a tool for women's economic empowerment in developing economies, yet gender disparities in access to microfinance services persist in many Nigerian states due to collateral requirements, mobility restrictions, and institutional biases. This study analyses the gender dimensions of microfinance access among small business operators in Oyo State, focusing on Ibadan, Ogbomoso, and Iseyin Local Government Areas. A quantitative survey design was adopted, with 240 micro-entrepreneurs, equally divided by gender, completing structured questionnaires. Data were analysed using independent samples t-tests, binary logistic regression, and chi-square tests. Findings reveal that women are 2.3 times more likely to be rejected for microfinance loans than men with comparable business profiles, with collateral deficits, lack of guarantors, and geographic immobility cited as institutional barriers. Women who do access microfinance are typically granted smaller loan amounts than male counterparts with similar credit profiles. Female-operated businesses demonstrate comparable or superior loan repayment rates to male-operated businesses, challenging collateral-based risk assessments. Recommendations include collateral-free lending products for women, group guarantee schemes, and gender sensitivity training for microfinance institution loan officers. These findings contribute to gender and financial inclusion literature in the South West geopolitical zone. Keywords: microfinance, gender disparity, access, Oyo State, women's economic empowerment