Economic Empowerment: Women’s Entrepreneurship and the SADC Protocol

Written by Kabsha Tajamal

Abstract

This article examines the scope of the SADC Protocol on Gender and Development regarding the economic empowerment of women. SADC Protocol on Gender and Development entails numerous provisions focusing on the implementation of favorable economic policies and legislation especially in the areas of trade and entrepreneurship for women. This blog discusses the relevant articles, the positive developments, and the challenges that the women entrepreneurs within the state parties still face several years after the adoption of the SADC Protocol.

This blog additionally deals with how the SADC Protocol can be employed to its maximum potential leading to an increased impact on the economic opportunities available to the women within the member states and offers a few recommendations. The blog concludes by emphasizing the need for the practical creation of a gender-sensitive and non-discriminatory environment for female entrepreneurs to thrive successfully and independently in the Southern African market.

Economic Empowerment: Women’s Entrepreneurship and the SADC Protocol

Women entrepreneurs have been seen as a catalyst for economic development throughout the world. This economic advancement contributes to gender equality within a country and the consequent women empowerment again leads to more progress (Shabana et al., 2017). All over the world, significant development in the economies of regions is simultaneously characterised by a growing number of female entrepreneurs. The Asian continent has been studied to be at the forefront of the advancement of women which has been accompanied by an exponential overall economic growth in the region. Researchers have claimed that many extremely developed Asian states have specifically worked towards changing the role of women from caretakers to the counterparts of men in not only society but also businesses (Franzke et al., 2022). A similar trend has been noticed in many other areas, including Africa. The 2007 South African Global Entrepreneurship Monitor (GEM) report explicitly highlights the role that women play in the economic development of South Africa (Nxopo, 2014). Likewise, various African states are leading initiatives that consistently aim at promoting economic growth and call for increased participation of women in the economic sphere (Nwakanma, 2021).

There have been numerous legislative attempts to empower women in Southern Africa. The Southern Africa Development Community (SADC) which was established in 1992 and has since been working towards ending discrimination faced by the women within the SADC states parties adopted a Protocol on Gender and Development in 2008. One of the main objectives of this Protocol was to sustain women's empowerment and accordingly, chapter five of the Protocol extensively deals with the involvement of women in policy making and its implementation in many areas. Article 17 of this chapter specifically talks about their role in trade and entrepreneurship to strive for the economic empowerment of women in the region (SADC, 2016).

Article 17 of the SADC Protocol on Gender and Development concerns itself with businesswomen and female entrepreneurs. It provides for the enactment of suitable laws and policies to bring about equality between men and women and ensures a fair opportunity for both formal and informal economic sectors. Although the article does not explore the specific strategies to guarantee benefits that can be utilized by women, it commits to fostering favourable circumstances through equal access to these markets.

The SADC Protocol, along with other treaties, has resulted in many positive developments in various countries of the region. Projects such as SADC Women in Business Trade Fairs have furthered the objectives of this provision resulting in the identification of unfamiliar markets by female entrepreneurs and exposing them to new technologies (SADC, 2016). Similarly, in Botswana and Swaziland, NGOs and other organisations have collaborated to enhance the engagement of females in the economy through advocacy as well as providing mentorships and platforms to women (SADC, 2016). Additionally, it has also been reported that women-owned eighty percent of businesses in the informal sector and comprised more than seventy percent of the labor force in Nigeria and Malawi respectively (Gursoy & Nunkoo, 2019).

Currently, some government-led initiatives and projects by other stakeholders hold considerable importance. Many programs have been seen all across Southern Africa contributing to Local Economic Development (LED) specifically for women. These schemes take several prejudicing factors and unfavorable circumstances into consideration including laws, cultural beliefs, poverty, and the lack of education. To accelerate progress, schemes such as the Gender Equitable Local Development Programme (GELD) sponsored by the United Nations Capital Development Fund (UNCDF) were put into place. GELD was initially implemented in countries like Uganda, Mozambique, Sierra Leone, Senegal, and Tanzania but later on was extended and reproduced in various new states as well. It provided the governments with local resources and funding and also supported further innovations in developing similar programs. It also highlighted the need to give women access to proper apparatus to conduct their businesses, make contracts, and fairly participate in the economic market (Wekwete & Chancellor, 2014). However, an in-depth analysis of women’s circumstances is required to pinpoint improvements that are yet to be made.

Female entrepreneurs continue to face numerous difficulties all around the Southern African region. It has been estimated by the Global Entrepreneurship Monitor that specifically in Southern Africa, women entrepreneurs are less prone to have access to funding or other resources for their ventures than their male counterparts. In general, a comparatively smaller number of entrepreneurial projects are being undertaken by women in this region (Etim, 2016). A study in Tanzania pointed out key dynamics involved in female-led businesses. It was found that approximately forty percent of the participants used personal savings to start their business endeavors and an additional twenty-six percent were helped by their family and friends. More than half of the women did not know of any ministry obligated to support entrepreneurs. Additionally, the majority did not feel that the current policies in place affected their decision to start their business, were not encouraged by any of the efforts made by the government and did not deem adequate governmental assistance provided to them (Nziku, 2016). Other challenges that have been observed concerning women in sub-Saharan Africa are cultural attitudes such as restrictions on traveling owing to business and conforming to the traditional role of a housekeeper. Due to these obstacles, men are considered to be more fitting for entrepreneurial roles. According to the International Labour Organization, fifty percent of female entrepreneurial potential is not currently being utilized (Gursoy & Nunkoo, 2019).

To cope with the challenges encountered by women on the ground, the potential of the provisions of the SADC Protocol on Gender and Development can be maximized by incorporating a few strategies. Firstly, as stated in the SADC Protocol, the policies of member states need to be more gender-responsive. This can be done by promoting networks of female start-ups, creating awareness regarding the current and future policies aimed at gender equality within this area, increasing governmental assistance to female-owned businesses, and giving them an appropriate amount of attention in the economic arena (Meyer, 2018). Moreover, at a national level, it is significant that the implemented policies take into account the cultural as well as geographical atmosphere of the country. The policies necessitate the consideration of the disadvantageous disposition of the women leading these businesses. Relevant education from a young age and appropriate training programs should be made available to women. More awareness is also needed as to the government-led initiatives and projects on the part of both stakeholders as well as the women to gain their full advantage (Nziku & Henry, 2020).

Keeping in view these strategies, a few novel recommendations should be taken into consideration as to increase the efficacy of the existing operations. Digital Financial Services such as electronic money have been endorsed as a potent tool to include more women in the economy (Ojo, 2022). Financial technologies (FinTech) are another example of this kind of innovative enterprise that facilitates women in business, especially in agriculture. FinTech essentially involves supplying financial services employing innovations in digital tech namely smartphones, the internet, artificial intelligence, and digital identity. These technologies have been regarded as escalating the productivity in agriculture, making it more adapted to climate change and ensuring risky as well as lucrative investments. Some of these innovations have directly led to the advancement of women’s businesses by letting them manage their projects from their homes (Mapanje et al., 2023).

In conclusion, empowering women in the fields of trade and entrepreneurship has long-lasting effects on the overall development of the countries, their economy, and society. The SADC Protocol on Gender and Development has been behind many positive advancements within the SADC area. Despite having not been utilised to its fullest potential, it is a beacon of hope for many countries that can follow the provisions to make a gender-responsive and impartial environment for women’s businesses to flourish. Many enterprises that were set up by local governments and organisations have embraced a gender-sensitive and inclusive approach. On the other hand, some domains still need to incorporate Article 17 of the SADC Protocol on Gender and Development in its true letter and spirit. It is only by governments and related partners collaborating on the efforts of the SADC Protocol, as well as making use of the appropriate technological and social advancements, that a productive attempt can be made to create an equal and progressive economic environment for the women and the member states.

Bibliography

1- Etim, J. (2016). Introduction to gender studies in Eastern and Southern Africa: A Reader. Springer.

2- Franzke, S., Wu, J., Froese, F. J., & Chan, Z. X. (2022). Female entrepreneurship in Asia: a critical review and future directions. Asian Business & Management, 21(3), 343-372.

3- Gursoy, D., & Nunkoo, R. (2019). The Routledge Handbook of Tourism Impacts: Theoretical and Applied Perspectives. Routledge.

4- Mapanje, O., Karuaihe, S., Machethe, C., & Amis, M. (2023). Financing sustainable agriculture in sub-saharan africa: a review of the role of financial technologies. Sustainability, 15(5), 4587.

5- Meyer, N. (2018). South African female entrepreneurs’ intention to remain in business (Doctoral dissertation, North-West University).

6- Nwakanma, A. P. (2021). Women, entrepreneurship, and economic development in Africa. In The Palgrave Handbook of African Women's Studies (pp. 1583-1599). Cham: Springer International Publishing.

7- Nziku, D. (2016). Strategies and policies influencing entrepreneurial start-up decisions: evidence from Tanzanian female entrepreneurs. Women Entrepreneurship in Global and Local Contexts, 81-101.

8- Nziku, D. M., & Henry, C. (2020). Policies for supporting women entrepreneurs in developing countries: The case of Tanzania. Journal of Entrepreneurship and Public Policy, 10(1), 38-58.

9- Nxopo, Z. (2014). The role of government in empowering female entrepreneurs in the Western Cape, South Africa (Doctoral dissertation, Cape Peninsula University of Technology).

10- Ojo, T. A. (2022). Digital Financial Inclusion for Women in the Fourth Industrial Revolution: A Key towards Achieving Sustainable Development Goal 5. Africa Review, 14(1), 98-123.

11- SADC, S. (2016). SADC Gender and Development Monitor 2016. Gaborone, Botswana.

12- Shabana, Khan, A. F., Vashistha, N., & Siddique, R. A. (2017). Women Empowerment through Entrepreneurship for their Holistic Development. Asian Journal of Research in Business Economics and Management, 7(2), 1. https://doi.org/10.5958/2249-7307.2017.00005.6

13- Wekwete, K., & Chancellor, P. V. (2014, March). Local government and local economic development in Southern Africa. In Draft for discussion at the Southern African Regional Conference, Creating opportunity for developmental local government through regional engagement on Local Economic Development.

Written by Kabsha Tajamal

Published by Africa Legal Aid

The views expressed on this blog are those of the contributors. They are not necessarily the views of AFLA, its editors, or its board.