Private high net worth individual (HNI) investors have successfully provided US$2 million in funding to seven female-led micro, small, and medium-sized enterprises (MSMEs).
Juanita Addo, CEO of Hyma Academy, made this announcement during the Women Entrepreneurship for Africa (WE4A) project’s conclusion in Accra.
She said that ten more SMEs received grants of €50,000 for equipment to help them grow, while four more businesses were awarded grants of €120,000.
Held under the theme ‘Leveraging the Untapped Potential of Female Entrepreneurs for Job Generation’, the concluding event offered a platform for women entrepreneurs to exchange insights, recount their journeys, discuss opportunities and obstacles, and impart valuable lessons learned throughout implementation of the WE4A project.
It also emphasized their growth, accomplishments, and important contributions within their fields; it fostered networking, sparked discussions about upcoming projects, and provided assistance for businesses run by women.
The need for WE4A project
In Ghana, women play a significant role in the Micro, Small, and Medium-sized Enterprises (MSMEs) sector, owning approximately 44% of these businesses, according to data from the World Bank. The nation also stands out for its high number of women entrepreneurs on the African continent, with exceptions being Uganda and Botswana, as reported in the MasterCard Index of Women Entrepreneurs for the year 2021.
However, despite these impressive statistics, women-led MSMEs in Ghana encounter numerous challenges that hinder their growth and success. These obstacles encompass difficulties in accessing financial resources, outdated customary laws related to inheritance and land rights, and deep-seated social norms that discourage women from venturing into entrepreneurship.
In response to these challenges, a two-year project was initiated with the goal of empowering African women entrepreneurs, stimulating economic growth, and advancing gender equality within the entrepreneurial landscape. This initiative aimed to achieve these objectives through targeted training, financial support, and strategic partnerships with the private sector.
Implemented as a collaboration between the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH and the Tony Elumelu Foundation, this project has yielded positive outcomes for women entrepreneurs in Ghana. Approximately 40 women have been equipped with the skills, resources, and support necessary to establish and operate successful businesses in the country.
This project not only celebrates the significant contributions of women to the business sector in Ghana but also highlights the importance of addressing the multifaceted challenges they face. By empowering women entrepreneurs and promoting gender equality, Ghana takes substantial steps toward a more inclusive and economically vibrant future.
“We achieved this through comprehensive training in capacity building, book-keeping, investor readiness among others,” explained the Team Leader-Employment for Skills and Development in Africa (E4D) at GIZ Ghana, John Duti. “The programme also equipped the 40 businesses with various tools to enhance their growth; these businesses have now collectively secured 217 jobs and created 103 new jobs,” he added.
Economic inclusion
Gerald Guskowski, the Cluster Coordinator for Sustainable Economic Development at GIZ, expressed that the project’s overarching goal is to enhance the economic inclusion and empowerment of women, ultimately leading to the generation of better employment opportunities in African economies.
“Specifically, it is targetted to increase the number of African women entrepreneurs who have enhanced business capacities, have access to formal financial services, are integrated into local and regional value chains, and contribute to employment creation in their communities,” he said.
“And this programme has significantly boosted efforts toward economically empowering women in Ghana and on the continent; and I therefore encourage all stakeholders to continue joining hands to empower women-led enterprises even after the programme’s closure,” he added.
He congratulated the 40 women entrepreneurs for successfully completing this phase of the programme, and encouraged them to: “Make the most of everything you have learnt through this intervention, so that you will continue to be shining examples of economically empowered women for your communities”.