A video and text message based course on financial literacy for female entrepreneurs

What it does. The experiment was to evaluate the effect of an online solution on women’s financial literacy. The training content, which was developed in ‘Kreol Morisien’ in video format, was used to train women-led entrepreneurs with struggling businesses who lacked financial literacy.

Multiple methods, such as surveys, interviews and focus groups, were used to understand what aspects of entrepreneurial finance were most difficult or confusing for women entrepreneurs to understand through traditional classroom training. Then, the course content and delivery were tailored to address those issues and provide clear and relevant examples and exercises, as well as interaction.

A baseline study of the cohort’s capacity was undertaken to obtain a comparative analysis, showcasing improvements and relating them to the success of micro and small enterprises.

The experiment aimed to:

Design an online solution, including YouTube videos in the local language, specifically in Mauritian Creole. The solution was then tested to determine if it could efficiently enhance financial literacy for the pilot group of women entrepreneurs participating in the experiment.
Monitor the perceived knowledge and understanding of key financial management practices, through a pre-test and post-test with the entrepreneurs, including: the business life cycle, financial statements, budgeting, working capital management, sources of finance, costing a product and services.
Experiment with online peer-to-peer interactive platforms, specifically WhatsApp – a popular app used by most entrepreneurs on the islands within the Republic, for sharing of challenges and learnings, networking and also increasing the confidence of the participating entrepreneurs. More specifically, the experiment aimed to evaluate the impact of peer-to-peer communication on understanding of financial terms and motivation. WhatsApp allowed the participants to share their experiences, challenges, and feedback with each other in a convenient and familiar way.

Value proposition. The tool serves as a simple online financial literacy platform for women entrepreneurs. It aims to support women-led micro and small enterprises to improve their financial resilience, operational capacity, and develop resilient business models. By using this approach, micro and small sized entrepreneurs can learn at their own pace and convenience, without affecting their daily activities. This initiative aligns with UNDP’s Signature Solutions focused on addressing Poverty and Inequality as well as Gender Equality and can help achieve SDGs 1, 5, 8 and 10.

Why and when to use it. The tool is most useful when the participants use the tool (videos) for learning when they are free from other entrepreneurial obligations, are motivated to exchange with their peers via the online platform and learn from their challenges, and are able to apply learnings to their everyday activities.

Known issues and troubleshooting. While there are no known issues with the experiment, all risks were carefully monitored throughout. Emphasis was placed on conducting the experiment in a structured manner by the team. This entailed conducting a baseline test to evaluate the current level of financial literacy and comparing the results post-learning. However, the testing was done on a small group of thirty women entrepreneurs. If scaled up, a proper risk management and monitoring mechanism would be essential.

Context. In 2022, the UNDP Mauritius and Seychelles Accelerator Lab facilitated a collective intelligence exercise with women entrepreneurs from MSMEs in Mauritius and Rodrigues. The group included participants from multiple sectors, notably from the tourism sector, affected by two successive COVID-related lockdowns. A key concern for the entrepreneurs was their limited financial literacy, which led to difficulties in filling out important documents like financial returns and VAT for the local revenue authority. It increased their operational costs and exacerbated the difficulties they already encountered in accessing affordable capital through the formal financial systems.

Cost. This initiative was funded by the UNDP Accelerator Lab and co-designed with a local academic institution for approximately MUR 780,000 (USD 17,300). Small and Medium Enterprise (SME) Mauritius and the National Women Entrepreneur Council collaborated by making this initiative accessible to women entrepreneurs from Mauritius and Rodrigues for the pilot experiment. With collaboration for scaling up with a ministry and other institutions, costs could be reduced as the content and design are available. However, some small adjustments might be required to update the content, among others.

People. The experiment was funded and co-designed by the UNDP Accelerator Lab Mauritius & Seychelles team, in collaboration with the University of Mauritius serving as an external consultant, and with the support of partners and collaborators including the Ministry of Gender Equality and Family Welfare, the National Women Entrepreneur Council, and SME Mauritius.

For colleagues who seek to replicate the experiment, the following roles are needed:

Social Scientist/ Ethnographer/ Community Person. The social scientist should have the following skills: cultural awareness, observation, interviewing (fluent in local language), ethnographic writing, and have the ability to collect data in an unbiased way. S/he should be proficient in various ethnographic methods such as participant observation, taking field notes, and thematic analysis, etc. S/he should be able to design the research questions, test hypotheses, use methods and instruments for conducting the experiment, as well as analyze the data and interpret the results in a scientific way. (Other important indirect skills include empathy, curiosity, strong ethics, etc.)
Finance Experts. Their skills should include financial literacy, accounting, budgeting, forecasting, and investing for entrepreneurial activities (aligned with the experiment’s content and entrepreneurs’ requirements as determined by the survey).
Instructor/Trainer. The instructor/ trainer should be able to teach a group of entrepreneurs with a basic level of understanding. Other skills for the instructor should include good communication, local language fluency, and a pedagogical attitude.
Videographer. The videographer should be proficient in editing, production, animation, graphics, sound design and storytelling, as well as editing software and platforms. Additionally, a videographer should exhibit local language fluency, creativity, attention to detail, the ability to incorporate feedback from the target group, and time management. (The instructional videos are very short to match the attention span of the target group.)
Project Coordinator. A project coordinator is essential for the experiment to be successful as there are many activities to coordinate simultaneously. Skills include experience in project management and implementation, excellent communication, and the ability to inspire collaboration among the team members and stakeholders. Finally, local language fluency, as well as M&E and risk management skills are also required.

Focal point. Melany Poorun-Sooprayen.

Country, year, and language. Republic of Mauritius, 2022 to 2023, Mauritian Creole/ English.

Resources.

Blog post in English. Read this blog to understand how the experiment was initiated.
Videos in Mauritan Creole with subtitles in English.