20-21 July 2022. Women entrepreneurs face significant and additional obstacles in expanding their businesses and taking them to the next level. The MENA region, having the world’s largest entrepreneurial disparity between men and women (ca. 5% of women-led business compared to a global average of 23%-26%) and one of the weakest female labour participation rates, is particularly affected. 

Several global and regional studies show that women in the MENA region face some of the highest levels of discrimination in accessing productive and financial resources. Behind this funding gender gap, gender bias seems to play a role in men funding other men, overlooking the female entrepreneurs who are also seeking business funding. As a matter of fact, the venture capital industry is 92% male

In this year’s edition, the Women Business Forum (WBF), co-organised by the UFM and UNIDO  will provide the opportunity to discuss gender-smart financing to empower women as entrepreneurs, traders, workers, and professionals, as well identify financial inequalities that remain gender-based. It will also discuss which models and good practices should be disseminated to ensure that women-led businesses can be an engine and growth and job opportunities for women and girls of the MENA region. 

Several studies across the world tend to demonstrate that not only women-led SMEs are more reliable in repaying loans than small businesses headed by men, but evidence also shows that venture capital funded women entrepreneurs are just as likely to succeed as men. Lately, it has been acknowledged that investing in women-led businesses or businesses that have a higher representation of women on the board and in leadership positions is a predictor of long-term value creation and better financial performance. This acknowledgement is underpinning to the rise of Gender-Lens Investing (GLI) together with the recognition that investing in women has disproportionally high social and economic impact because of the spill-over effects in healthcare, education and economic growth and job creation.

The financing challenges as well as other pervasive issues hampering female entrepreneurship development in the MENA region are at the core of the White Paper produced by UNIDO within the framework of the PWE II UfM labelled project. The White Paper highlights the relevant knowledge accumulated by UNIDO over the years, identifying the lessons learned and good practices carried out, including on access to finance. It will be presented and discussed at the Women Business Forum 2022 and will, together with inputs gained from stakeholders, lead to a set of specific recommendations for future projects. 

Ultimately, unlocking women’s entrepreneurial potential in the MENA region requires Gender-Smart Financing – a financing approach that purposefully funds, empowers, and inspires female founders and investors. Investors and employers across the MENA region have the opportunity to accelerate women’s inclusion in the economy. Including by fostering digital inclusion and thus leveraging digital financial opportunities as means to increase access to finance and stimulate new economic opportunities for women entrepreneurs. 

Alongside the above-mentioned women-focused financial services and Guarantee Funds, Gender-Lens Investing (GLI) represents such a Gender-Smart Financing approach. Gender-Lens Investing is a deliberate approach that integrates gender analysis, investment analysis and decision making, leading to targeted investments in women-owned and -led enterprises in order to advance women’s inclusion in the workforce, as both workers and entrepreneurs. Thus, simultaneously generating financial return, while advancing gender equality and debunking the female entrepreneurial myths.

Concept Note