This paper addresses the need to reform the international development finance architecture in ways that expand access to affordable credit for women entrepreneurs. It lays out an evidence-based pathway, emphasizing the importance of linking macro-level resource mobilization to effective deployment at the micro level. In arguing for increased access to affordable productive capital and economic participation for women, the paper focuses particularly on sub-Saharan Africa. Despite their high levels of economic activity, African women often work in informal microenterprises, facing income instability and inferior credit terms compared with men. The paper advocates for credit as a cost-effective development tool that supports women in building resilience against economic shocks, managing cash flows, and expanding their businesses, leading to a reduction in poverty and increased economic growth.
Blog » Women and Equitable Growth in a Resource-Constrained World Unleashing Capital for Women Entrepreneurs in Africa (2024)
Women and Equitable Growth in a Resource-Constrained World Unleashing Capital for Women Entrepreneurs in Africa (2024)
This paper addresses the need to reform the international development finance architecture in ways that expand access to affordable credit for women entrepreneurs. It lays out an evidence-based pathway, emphasizing the importance of linking macro-level resource mobilization to effective deployment at the micro level. In arguing for increased access to affordable productive capital and economic participation for women, the paper focuses particularly on sub-Saharan Africa. Despite their high levels of economic activity, African women often work in informal microenterprises, facing income instability and inferior credit terms compared with men. The paper advocates for credit as a cost-effective development tool that supports women in building resilience against economic shocks, managing cash flows, and expanding their businesses, leading to a reduction in poverty and increased economic growth.