AfDB advocates increased Women Entrepreneurship in Africa

AFRICAN Development Bank (AfDB) has called on African countries to tackle the negative factors that are inhibiting the expected development of women entrepreneurship on the continent.

President of the bank, Donald Kaberuka, in his speech at the second African Women Economic summit in Lagos at the weekend, identified the factors as lack of collateral, outdated customary laws and practices, which prevent women’s right to properties and challenges of registering new businesses in the region.

According to him, some banks do not recognize women’s credit worthiness, ‘although they receive high credit rating from micro-finance institutions. “We must move on from these rudimentary constraints to issues such as innovative financing opportunities, mentorships and partnerships for women in business.

“Much more needs to be done to enhance the productivity of women in economic development. But the situation is not dismal. We are building upon previous achievements - reflected in our presence in this room today”, he said.

Kaberuka explained that women have always played a pivotal role in the socio-economic development of Africa. As farmers, entrepreneurs, traders and innovators, they are key economic actors in the continent, adding, “I believe, strongly believe investing in women differently is essential to revitalise our economies.

Earlier, Nigeria’s Minister of Finance, Ngozi Okonjo-Iweala, in a keynote address, emphasised that women’s economic empowerment was no longer an option because investing in women who constitute half of the continent’s population was the only way to sustain the growth recorded across the continent.

“Women are the third largest emerging markets in the globe. Women are the third largest sources of growth. One of the fastest ways to sustain current growth is to invest in women,” Okonjo-Iweala said.

She recommended the establishment of a specialised Bank to take up the financial interest of women, who do not have access to investment finance due to a host of reasons.

Also addressing the gathering, New Faces New Voices Executive Director, Nomsa Daniels, said in the next two years, the organisation would focus attention on the development of a data base on women participation in entrepreneurship, financing and the economy.

She said the group, which currently has chapters in 16 countries, would also organise capacity building programmes, financial education and enlightenment courses for women.

New Faces New Voices Advisor and a former AfDB Vice President and Chief Operating Officer, Nkosana Moyo, explained that finding ways of empowering women with quality health, education and finance was of utmost importance. “Women are actually a huge market segment and the most essential tool we need for the development of the continent. So, we need to develop financial products that can help to fully utilise their potentials.”

Source: The Guardian, Nigeria