Experts recommend strategies to bridge funding gaps for women entrepreneurs

Experts have said that bridging the gap between women in business and funding access requires significant contributions from both the media and policymakers.

The experts made this known during a panel session at the Gatesfield’s ‘Women Economic Empowerment Media Conversation’ held virtually on Friday. 

Fifehan Osikanlu, Founder of Eden Venture Group said the media is a powerful tool which can be used to shape narratives and influence policy action.

Ms Osikanlu said storytelling, for instance, could “push the need for the Central Bank of Nigeria to enforce 30 to 40 per cent mandatory lending to women by commercial banks and 50 per cent access to intervention funds for women.”

She also emphasised focusing on data-driven stories to showcase success stories highlighting the symbiotic relationship between lending to women and economic growth.

She further stressed that by using storytelling and data, the media could show the correlation between the funding gap and its consequences adding that the combined approach could influence relevant government officials, financial institutions and policymakers to action.

Ms Osikanlu noted that the narrative in the media should be about “investing in national growth through women as opposed to ‘support women, help women.”

Local credit schemes

Osasu Ogwuche, CEO of TOS Group, on her part mentioned successful local initiatives such as the Dangote and BOI Fund, Access Bank W-Power Loan, FCMB Gender Loans, Sterling Bank’s women in agric business credit, and international models like the Grameen Bank in Bangladesh, emphasising the transformative potential of micro-lending schemes.

Ms Ogwuche noted that lending to women is safer compared to their male counterparts.

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“According to data, lending to women is safer because female customers have a higher propensity to save and you know it increases the bank’s revenue,” she said.

“…One person isn’t solely helping the other. It’s a relationship where both hands are being rubbed.”

Survey

Earlier, Joy Nsidibe-Abasi, a staff at the Organisation, set the tone for the conversation by highlighting the major systemic barriers to women’s economic empowerment, according to the survey conducted in 2023.

The Foundation’s survey was conducted among 200,000 Nigerian and Kenyan women to shed light on their economic ambitions and the challenges they face.

However, in Nigeria, 100,000 female entrepreneurs in Niger and Kebbi states participated in the survey.

The organisation said that the findings “are an urgent call to action for start-up capital and equipment to be provided to Nigerian women to enable them to achieve their economic aspirations.”

According to the survey, 62 per cent of the participants said lack of capital is their “biggest” obstacle to becoming economically successful.

Participants who were between the ages of 15-55 and above were asked about their biggest economic ambition, the hurdles to achieving it and the required support needed to realise them.

Systemic barriers

A lack of start-up capital or equipment was the primary factor preventing women from achieving their economic ambitions, the report revealed.

“Other significant challenges included the availability of jobs, profit margins and time constraints.

“Family support or sponsorship, as well as education and training, were also noted as barriers, as were issues related to power, discrimination, and insecurity.”

Ambitions

Many female entrepreneurs stated that their primary economic goal is to own or expand a business citing their preferred industries to include apparel and beauty, agriculture, and food and drink.

Also, a smaller group of women sought financial independence, education, mental and physical health support.

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Support

The women indicated that access to start-up capital or equipment and family support or sponsorship are the most critical forms of assistance.

“Opportunities related to jobs, profits, and time management were also cited as being a key part of the equation, followed by education and training,” the report added.

“Participants also recognised that resolving issues around power, discrimination, and insecurity could make a difference.”