“A woman is a change-agent. She can feed her family. Build her business. Raise her kids. Employ her neighbours. She can inspire sustainable transformation and create a new story for herself, her children and her entire community. A woman is powerful and full of often-untapped potential. A woman can change the world. But first, she needs to be given an opportunity.” (Opportunity International)
Giving women a hand up not a hand out
On Thursday we welcomed two of our partners who have recently completed three-year projects in Sierra Leone (CAFOD) and Malawi (Opportunity International). Between the two projects, over 32,000 people have been supported, more than 80% of whom are women.
Worldwide, 70% of those living on less than $2 a day are women and girls, according to UN Women. Unfortunately, these women are more vulnerable to forced labor, malnutrition and violence. The greatest challenge facing these women is not lack of knowledge or motivation, but a lack of access to financial services and training to launch businesses, support their families, educate their children and strengthen their local economies.
Women make up 43% of the agricultural workforce globally, rising to 60% in least developed countries, but face multiple constraints. Women are often in low-paid, insecure jobs. They face cultural barriers, with limited access to education and training.
Climate change compounds these challenges as women bear a disproportionate burden. Without any financial buffer from savings and insurance, it can be even more challenging to recover from a bad harvest.
Why financial inclusion?
In our society, we don't talk about being 'financially included' because it's a given. We take for granted that we can transfer money to each other electronically. We can apply for a mortgage to own a property. We can get a loan to send our kids to university or start a business. We can get insurance to protect ourselves from risks. We can buy things on credit if we can't afford to pay the full cost up front. And we can save money for a rainy day.
People living in low-income economies around the world want the same things as we do - to live in a safe and secure home, to save for the future, to be able to educate their children. And in today's world, we are all vulnerable to shocks. Those shocks may be related to the climate (floods, droughts and other extreme weather events), or depending on where you live, they may be related to conflict, or closer to home, they might be related to ill-health or even death. When these shocks happen, without some kind of financial buffer or safety net, it's very difficult to bounce back. This is why access to finance for all, or 'financial inclusion' if you want to call it that, is such a critical enabler for achieving sustainable development globally.
How did they achieve success?
Both CAFOD and Opportunity International have worked with local partners (banks, financial service providers, mobile money operators, central banks, and local governments) to strengthen the financial systems to extend their services to the rural poor. Alongside this, they also provided direct training to women and girls so that they could be empowered to save money, invest in their businesses, grow their income and escape the cycle of poverty.
“I am hoping for a better agricultural season, and I am working hard with my husband to boost my businesses so that my children can complete their studies. I want my daughter to be a nurse!”
Meet Dorka
We heard about a project participant in Malawi called Dorka. At the start of the project Dorka was a farmer living in rural Malawi, one of the poorest countries in the world. She had no savings, no collateral (no home ownership), no legal identity and could not afford to pay for her children’s education. Through being provided financial literacy training, joining a savings group and being introduced to formal banks through the project, she started her own business and now sends her daughter to school.
It is estimated that closing the gender gap could give the global economy a USD 7 trillion boost
At JOA, we believe that women’s participation in the economy is not only a matter of fairness, but is also an essential ingredient for economic growth. When women are included, the entire household benefits, health outcomes are better, they invest in children’s education, they are able to participate in household decisions, and entire communities can benefit from a reduction in poverty and increased economic stability and resilience.
We’re incredibly proud of the support that Jersey has provided to these women in rural Sierra Leone and Malawi, and it was fantastic to hear the results directly from the partners who have worked so hard over the past 3 years to deliver these results. Over 32,000 people have built sustainable livelihoods and are now more financially resilient thanks to the hard work of these incredible partners. Thank you to Opportunity International and CAFOD for all you have done!