Investing in Women to Advance Economic Growth

June 24, 2009—“Women often times are unheralded in the work that they do for the economies of their families, communities and even their nations,” said Congresswoman Yvette D. Clarke at Capitol Hill briefing today. “Despite the significant progress, there is still a wealth of untapped potential in women.”

The World Bank calls investing in women “smart economics” because of the research that shows economic growth for women has an important multiplier effect. Women are more likely to share their economic gains with their families and communities at large. One study concluded that investing in women’s education and leadership in Africa can increase agricultural yields by more than 20 percent.

As widespread and uncontroversial as the case for women’s economic empowerment has become, today women own only one percent of the world’s wealth, have only a 10 percent share in global income, and occupy just 14 percent of leadership positions in the private and public sector. And, while women produce half of the world’s food, they own a mere one percent of its land.

On June 24, CEDPA sponsored a Congressional briefing on “The Role of Women in Strengthening the Global Economy,” which brought together members of the U.S. Congress, organizations working in economic development, and global women’s leaders to share strategies for advancing women’s economic participation. The briefing was co-sponsored by Congresswoman Clarke, her Congressional colleagues The Honorable Gwen Moore and The Honorable Jan Schakowsky, and the ExxonMobil Foundation’s Educating Women and Girls Initiative.

Rozy Hayatee Sharif explained the strategies her association used to empower women in Malaysia.

Agreeing with the World Bank’s assessment about the importance of investing in women, the ExxonMobil Foundation’s Lorie Jackson said that “ExxonMobil’s investment in women is not philanthropic, it’s just smart business.” Equipping women from all backgrounds with the education, skills and support systems necessary to be successful managers, business leaders and entrepreneurs is one of the most important means to ensuring economic growth in the developing world, she said.

To advance women in the economy, panelists discussed strategies to foster women’s entrepreneurship and small business skills. Both are often important entry points for women to gain economic independence.

Rozy Hayatee Sharif of the National Association of Women Entrepreneurs of Malaysia stated that “investing in women’s capacity by providing vocational or skills training for women, enlarging access to finance or credit for women…and supporting a conducive networking platform for women entrepreneurs…are creating greater opportunity for women entrepreneurs [in Malaysia] and these strategies are applicable around the world.”

Evelyn Omawumi Urhobo of Nigeria’s Morgan Smart Development Foundation shared her experiences leading a community bank in Nigeria’s Delta region. Her institution gives loans to “rural poor women who did not have access to credit to start businesses that would enable them to lift themselves out of poverty. To date, the bank has given loans to over 15,000 people mostly poor women in the region.”

She said she is “happy to report that poor women do pay back their loans. We have approximately 85 percent pay back rate on loans given to the women.”

Evelyn Omawumi Urhobo described how her organization is giving loans to and training women in Nigeria who in turn improve their communities.

Rozy and Evelyn are participants in CEDPA’s 48th Global Women in Management training program, which is currently being held in Washington, D.C. They are joined in the workshop by an additional 24 amazing women leaders from 18 countries. During the training, the emerging women leaders study the latest trends in effective management; advance their skills in financial oversight, fundraising, supervision and communication; and develop greater confidence to lead.

The Global Women in Management program is CEDPA’s longest running training program, with thousands of graduate in almost every country worldwide.

CEDPA’s Global Women in Management program has been supported since 2005 by the ExxonMobil Foundation’s Educating Women and Girls Initiative. This support has provided scholarships for more than 225 women leaders to attend workshops in Mexico, Nigeria and the United States. This year, the program will expand to be held in additional countries including Brazil, Cameroon and Egypt.

Learn more about CEDPA’s training programs.

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