AfDB collaborates with We-Fi to fund women entrepreneurs

The African Development Bank (AfDB) and the Affirmative Finance Action for Women in Africa (AFAWA) have signed a financial procedures agreement with the World Bank-led Women Entrepreneurs Finance Initiative (WeFi).

The director of AfDB’s Gender, Women and Civil Society Department, Vanessa Moungar, said in a statement that women formed the backbone of African economies and have a critical role to play in inclusive economic development.

However, they face numerous challenges in obtaining financing, owning and expanding businesses and access to capital and technology, he noted.

“This agreement is an important milestone for the AFAWA programme, and presents an opportunity to leverage substantial resources to unlock the transformational potential of women’s entrepreneurship in Africa,” Moungar said.

He stated that the agreement would lead to further collaboration on similar programmes and the opportunity to share lessons learned.

The bank estimates the financing gap for African women’s business at US$42 billion. The AFAWA initiative aims to provide financing and a holistic approach to women’s entrepreneurship. Women Entrepreneurs Finance Initiative (We-Fi) is a collaborative partnership among 14 governments, eight multilateral development banks, and other public and private sector stakeholders, hosted by the World Bank Group.