Africa's women entrepreneurs are driving a transformative shift in the continent’s financial landscape, with new initiatives challenging long-standing biases and unlocking opportunities. Dr. Beth Dunford, Vice President for Agriculture, Human, and Social Development at the African Development Bank Group, highlights these strides in a recent analysis timed for International Women’s Day.
At the forefront is the bank’s Affirmative Finance Action for Women in Africa (AFAWA) program, addressing a staggering $49 billion financing gap faced by women-led businesses. Traditional barriers, including limited access to land deeds and collateral, have historically excluded many women from formal financial services. Yet new data reveals a promising trend: banks increasingly recognize that investing in women yields measurable economic returns.
“Societal norms sidelined women’s financial agency for too long,” notes Dr. Dunford. “AFAWA bridges this divide by collaborating with financial institutions to design gender-responsive products.” Success stories include tailored loan schemes and credit guarantee systems, enabling women to expand agribusinesses and digital startups.
The ripple effects are profound. Businesses led by women now contribute significantly to job creation and GDP growth across sectors. For investors, the message is clear: empowering Africa’s women entrepreneurs isn’t just equitable—it’s economically strategic.
