Bridging the financial inclusion gender gap

Gender parity and financial inclusion for women in Africa remain at the forefront of the economic agenda, with women facing numerous challenges as they strive for financial freedom. In a recent interview with Najma Jabri, the Head of Women Banking at Gulf African Bank, CNBC Africa delved into the unique obstacles that women in Kenya encounter in the business world, particularly in accessing financial services and opportunities. Jabri highlighted key statistics from the Kenya National Bureau of Statistics, revealing that a significant percentage of micro, small, and medium enterprises (MSMEs) in the country are owned by women. However, a majority of these businesses operate without licenses, limiting their access to opportunities. Furthermore, Jabri emphasized the lack of tangible collateral as a major hindrance for women entrepreneurs seeking financial support from banks. With only 1% of registered land in Kenya owned by women, the traditional requirement of collateral poses a significant barrier to financial inclusion. To address these challenges, Gulf African Bank has partnered with UN Women to launch the ANISA program, aimed at empowering women economically and providing them with tailored financial solutions. One of the key initiatives under the program is to assist women in the procurement space. The government has allocated a portion of tenders to women, and Gulf African Bank is aligning its efforts with this initiative to offer financial support to women pursuing government contracts. By creating products that provide unsecured financing, the bank is enabling women to access funding without the need for tangible collateral. Additionally, Gulf African Bank has established a networking forum on its website to connect successful women entrepreneurs with aspiring business owners. Through this platform, women can learn from and be mentored by those who have excelled in various sectors, including male-dominated industries like energy and manufacturing. Looking ahead, Jabri emphasized the importance of capacity building programs for women in Kenya. By partnering with organizations like UN Women and the International Finance Corporation (IFC), Gulf African Bank is actively involved in providing training and support to women entrepreneurs. Capacity building initiatives focus on areas such as business registration, financial management, and accessing opportunities, helping to elevate women-owned businesses and accelerate gender parity in the financial sector. Overall, bridging the financial inclusion gender gap in Kenya requires a multifaceted approach that addresses the unique challenges faced by women in business and empowers them to succeed in an inclusive economy.