Women entrepreneurs in the global South face persistent barriers when it comes to accessing markets, finance, and equal opportunities. The data reveals a stark reality – despite the proliferation of facilitation services, a significant mismatch remains between demand-side needs of women and provisions. Limited access to trade and markets, financial barriers, ownership of assets and cultural norms that perpetuate inequality hinder the full potential of women entrepreneurs.
Image: Ms Mary in Buka Market of Bourgainville selling her Buka Baskets and jewelry. Lacking network avaliability in the area means that there is no chance for her to utilize online payment systems.
Decision-makers and advocates discuss capacity building, tech, and government regulation. They ask each other and themselves:
• What innovative financial mechanisms exist or are needed to overcome the hurdles that hinder women entrepreneurs’ growth?
• Can networks, resources, and policies empower women to excel in their entrepreneurial journeys?
• How can we expand access to trade and markets for women entrepreneurs, ensuring they have a level playing field to showcase their products and services?
• Can we transform cultural and social norms to create a more gender-equal business environment?
A System of Exclusion
While we delve into answering these crucial questions and explore innovative approaches to address gender-based financial exclusion, it is essential to remember the underlying structural factors that contribute to the underserving of women in the first place. We must not blindly jump to conclusions without understanding the fundamental structures that enable such issues to persist.
The underrepresentation and limited access to financial systems and products for women in many countries is a reflection of deeply ingrained gender inequalities perpetuated by a capitalist system - a system rooted in patriarchy. These barriers are often a result of social norms that become apparent in discriminatory practices, a lack of financial literacy, and limited control over resources. It is crucial to recognize that gender-based financial exclusion is not an isolated issue but a symptom of a larger structural problem: the systemic oppression of women.
Feminist Finance
Feminist finance is a relatively new movement in the financial industry that aims to promote gender equality and empower women through their relationship with money. It is rooted in the broader feminist movement that seeks to challenge and dismantle patriarchal structures that perpetuate gender-based inequalities.
Feminist finance emerges as a powerful tool in addressing this underlying issue by challenging the norms, biases, and unequal power dynamics that perpetuate gender-based financial exclusion. It makes the implicit explicit by highlighting discriminatory practices, a lack of financial literacy, and limited control over resources.
At its core, feminist finance aims to create a more equitable and inclusive financial system by placing a gender lens on financial services, products, and policies. It seeks to address the specific needs and challenges faced by women, especially those in marginalized communities, and advocates for their economic empowerment. Feminist finance emphasizes the principles of equitable access, empowerment, and the promotion of diverse voices to ensure that financial systems work for all.
A Inclusive Future
Picture a future where women's voices are amplified, their businesses flourish, and their communities prosper. This vision of empowerment lies at the intersection of feminism, finance, and equity – a powerful catalyst for change in the global South.
Achieving financial equity in the global South requires innovative approaches and targeted strategies that address the unique challenges faced by women in these regions. It is crucial to bridge the gender gap in financial access and promote women's economic empowerment.
Initiatives such as microfinance programs, women-led financial cooperatives, and tailored financial products have shown promising results in promoting financial inclusion for women. Additionally, strengthening financial literacy and entrepreneurship training, expanding access to digital financial services, and improving women's representation in decision-making positions within financial institutions are key pathways to achieving financial equity.
Collaboration and Partnerships
Addressing gender-based financial exclusion requires collaborative efforts and partnerships between government agencies, entrepreneurs, financial institutions, investors, NGOs and civil society organizations, tech companies, donor agencies and foundations, researchers and other stakeholders. International cooperation plays a role in supporting countries in the global South to create strategic alliances and develop inclusive financial ecosystems that prioritize gender equity and women's economic empowerment.
Collective action can drive systemic change and create an enabling environment for gender-equitable financial systems. It is essential to promote dialogue, knowledge exchange, and capacity-building initiatives to foster collaboration and share best practices.
Conclusion: Contextualizing the Financial Exclusion
In conclusion, feminism, finance, and equity are intertwined in the global fight against gender-based financial exclusion.
Change is possible, and it starts by acknowledging and contextualizing the issues at hand. This understanding then serves as the foundation for strategy development and solution creation, which should be a collective, inclusive, and participatory process. The optimal way to address these gendered financial disparities is by carving out spaces for all relevant stakeholders—women entrepreneurs, financial institutions, NGOs, governments, academics, and more—to strategize, collaborate, and co-create solutions. The strength of this approach lies in its diversity of perspectives and its grounding in the lived experiences of those most affected by financial exclusion.
By challenging the norms, biases, and unequal power dynamics that perpetuate economic disparities, feminist finance provides a transformative approach to creating a more just and inclusive society. Addressing the systemic underrepresentation and limited access to financial systems for women is not only a matter of financial inclusion but also a crucial step towards dismantling gender inequalities and advancing gender equity.
Through collaborative efforts and a commitment to dismantling patriarchal systems, we can pave the way for a future where women have equal access to financial resources and opportunities.