High Hurdles: The Journey of Women Entrepreneurs in Africa
Across the vast and diverse continent of Africa, millions of women are making their mark in the business world. From the CEOs of innovative tech firms to the mama mbogas—women selling fresh fruits and vegetables from wooden stalls in bustling neighborhoods—these entrepreneurs are reshaping the economic landscape. According to estimates, Africa boasts the highest rate of female entrepreneurial activity globally, with approximately 24 percent of women engaged in entrepreneurial ventures. This remarkable statistic reflects not only the limited formal job opportunities available but also the resilience and determination of African women to take control of their economic destinies.
The Landscape of Female Entrepreneurship
Despite the impressive numbers, the journey for women entrepreneurs in Africa is fraught with challenges. Cultural biases and outdated legal frameworks create significant barriers that hinder their progress. The World Bank Group’s 2024 Women, Business, and the Law report highlights the myriad obstacles women face, revealing that no country, even the wealthiest, offers full equal opportunities for women. In many African nations, women encounter difficulties accessing childcare, achieving equal pay, and combating workplace harassment. In some cases, women are still required to have a male partner co-sign loans or business applications, severely limiting their ability to launch or grow their enterprises.
The Impact of Legal and Cultural Barriers
The legal landscape in many African countries often fails to support women adequately. While some nations have made strides in passing laws aimed at improving gender equality, the implementation and enforcement of these regulations remain significant hurdles. Tea Tumbric, Manager for the Women, Business and the Law project, emphasizes the importance of increasing women’s economic participation as a means to amplify their voices and influence decisions that affect their lives. Identifying the unique challenges faced by women entrepreneurs is crucial for developing effective solutions.
A Multifaceted Approach to Support
Addressing the barriers to female entrepreneurship in Africa requires a multifaceted approach. Financial institutions, development finance organizations, and banks are increasingly recognizing the need to support women in business through diverse and impactful solutions. The International Finance Corporation (IFC) is at the forefront of this effort, focusing not only on providing access to financing but also on offering training, networking opportunities, and market access, particularly in traditionally male-dominated sectors like construction and manufacturing.
Anne Kabugi, IFC’s Regional Gender Lead for Africa, underscores the importance of a comprehensive strategy. “Helping women access financing is important, but we are also providing women in Africa with training, networking, and access to markets,” she explains. Collaborations with partners like the Baobab Group further amplify these efforts, as they provide financial services and training specifically tailored to support women entrepreneurs across West Africa.
Innovative Programs Making a Difference
One notable initiative is Baobab’s Credit Jappo program in Senegal, which focuses on funding women in cooperatives or associations. The program supports women involved in producing and selling various products, from soaps to agricultural goods. Hervé Guyon, Baobab’s General Secretary, highlights the importance of women as customers, noting that they tend to be better savers and entrepreneurs than their male counterparts. Recognizing this potential, Baobab has committed to helping women launch and grow their businesses.
In Nigeria, the IFC has partnered with Access Bank to offer six-month mini-MBA courses designed to equip women entrepreneurs with essential financial and business skills. This initiative has proven transformative for many participants. For instance, Mawuse Gyisun, a Ghanaian entrepreneur and founder of Sommalife, credits the mini-MBA training with helping her secure additional funding and expand her business, which connects 100,000 farmers—92 percent of whom are women.
Empowering Women Through Training and Networking
Mawuse Gyisun’s journey exemplifies the power of training and networking in overcoming the challenges faced by women entrepreneurs. “As a woman, I know I have to double my efforts to overcome negative stereotypes and succeed,” she shares. Her passion for women’s economic development drives her to inspire others, emphasizing the importance of sharing knowledge and experiences to uplift fellow women in business.
The collective efforts of organizations, financial institutions, and individual entrepreneurs are gradually dismantling the high hurdles that women face in Africa. By fostering an environment that supports female entrepreneurship through training, access to finance, and networking opportunities, the continent is moving closer to achieving gender parity in the business sector. The journey is ongoing, but the strides made by women entrepreneurs are paving the way for a more inclusive and equitable economic future.