Female directors and social responsibility of microfinance institutions

We investigate whether female directors influence the social responsibility of Microfinance Institutions (MFIs). We also explore the factors that might affect the influence of female directors on the different dimensions of MFIs’ social responsibility. Using an international sample of 362 MFIs during the sample period 2010–2018, we find that the impact of female directors on social responsibility of MFIs is positive and not uniform across the various dimensions of social responsibility. We also find that the impact of female board members on MFIs’ social responsibility is stronger when MFIs are structured as not-for-profit organizations. However, local cultural gender values and institutional strength do not affect the relationship between female board members and the social responsibility of MFIs. We contribute to the emerging research stream of women’s representation in the boardrooms of organizations supplying public goods.