Smartphones Empower Working Mothers in Mexico: PayJoy

Smartphones play a transformative role in the lives of working mothers in Mexico, offering them both economic mobility and a pathway to financial inclusion, according to a recent study by PayJoy. The study surveyed over 1,100 working mothers in Mexico who received a smartphone loan from PayJoy, and evaluated its impact on their work, family life, and financial stability.

“Smartphones are more than just devices; they are gateways to financial inclusion for working mothers in Mexico," says Priscila Barrantes, Country Manager, PayJoy.

The report, Unlocking Economic Mobility: Smartphone Finance and the Rise of Mexico's Working Mother Micro-Entrepreneurs, found that 95% of mothers who work outside the home say having a smartphone enables their employment, while 94% report that smartphones help them work from home and manage remote tasks effectively. 

The smartphone also serves as the initial entry point for customers into the financial system, says PayJoy. Once financed, the smartphone can function as collateral for future loans, allowing the customer to access additional financial products such as credit lines or credit cards. This creates new opportunities for purchases and online transactions, says Barrantes to MBN. 

The report adds that mothers face several economic challenges in Mexico, where gender disparity in labor force participation is 32%. Mexico ranks as the fourth country with the lowest economic participation of women in Latin America, according to the Mexican Institute for Competitiveness (IMCO.)

Working mothers also manage an average of 40 hours per week of unpaid care and household chores, which represents twice the amount that men dedicate to similar responsibilities. In 2023, women contributed 71.5% of the total value generated by unpaid work, while men accounted for 28.5%, as reported by INEGI.

Many women are turning to micro-entrepreneurship. These women balance caregiving responsibilities, domestic tasks, and employment, often through informal economic activities such as street vending, domestic work, and occasional jobs. PayJoy says that 65% of its clients in Mexico are part of this informal economy, with 75% working over seven hours a day and 24% working more than 10 hours a day.

Among the women surveyed, 67% are working mothers, and 73% consider their smartphones extremely important. Of those surveyed, 95% report that their smartphones allow them to balance work and household duties, and 96% say that both caregiving tasks and their ability to work are equally important to them.