AFRICA – The Women Entrepreneurs Finance Initiative (We-Fi), has announced US$15 million funding to develop and extend digital financial solutions to women-owned small and medium businesses in African countries.
We-Fi is a partnership among 14 governments, eight multilateral development banks (MDBs), and other public and private sector stakeholders.
The funding is under the African Development Bank’s Africa Digital Financial Inclusion Facility (ADFI) targeting Cameroon, Egypt, Kenya, Mozambique, and Nigeria.
The latest round is the fourth of the US$54.8 million raised by the organization which will benefit almost 69,000 women entrepreneurs in developing economies with access to digital technology and finance.
The funds will enable the Africa Digital Financial Inclusion Facility to design and implement programs to improve digital access to finance for women entrepreneurs.
ADFI will further reduce the US$42 billion financing gap and improve its operational efficiency to build back better following the COVID-19 crisis.
“We-Fi’s fourth round of allocations comes at a crucial time. Women’s economic empowerment is under pressure due to conflict and insecurity,” said Bärbel Kofler, Parliamentary State Secretary of Germany’s Ministry for Economic Cooperation and Development.
“I am pleased to see our Implementing Partners preparing such strong proposals to support women-led businesses. Access to technology and financing will be key to unlock the potential of women entrepreneurs.“
Digital financial solutions are key to improving the quality of life of people in Africa and reducing the gender access-to-finance gap.
The funding which is complementary to the Affirmative Finance Action for Women in Africa Initiative (AFAWA), will broaden access to finance for women in small and medium businesses.
In addition, it will also provide an avenue for entrepreneurs to increase their economic empowerment and resilience.
The women-led business also needs business training, especially in technical areas such as crop and livestock farming.
In addition to financial inclusion, women could use marketing and soft skills to help them better manage their businesses contributing greatly to the GDP of their countries.
Organizations such as We-Fi provide financial options for women-led businesses that for a long time have been dominated by male counterparts.
the concluded round saw three other multilateral development Banks receive allocations in this fourth round, The Islamic Development Bank, the Inter-American Development Bank Group, and the World Bank Group.
Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals, and insights from Africa’s business, economy, and more. SUBSCRIBE HERE
