African Development Bank (AfDB) has announced its decision to increase its support towards women-owned SMEs to $2bn.  The support was announced in Abuja on Monday during the bank’s workshop on bankable business proposals and business plans for young people and women in agriculture by Marie Akin-Olugbade, vice-president, of regional development, integration, and business delivery complex, AfDB.

According to Akin-Olugbade, there is an estimated $42 billion financing gap, which presents numerous hurdles for female entrepreneurs in Africa to obtain resources and capital. She continued by saying that over 23 million women own microbusinesses in Nigeria, accounting for 41% of all businesses.

She clarified that, according to a recent International Trade Center report, just 10% of commercial loans in Nigeria are given to women. This figure is comparable to that of other sub-Saharan African nations.

“Through initiatives like the Affirmative Finance Action for Women in Africa (AFAWA), we are breaking down the barriers that have for far too long limited their potential. We know that when we empower women in agriculture, we empower entire communities. Many studies such as that of Africa Technology Business Network (), show that women in Africa typically reinvest up to 90 percent of their income in education, health, and nutrition for their families and communities, compared to up to 40 percent for men. Imagine the transformative power if we fully support women’s businesses. Women are bankable. By the end of this year, AFAWA is expected to increase the total amount of approved funds from $1.7 to $2 billion to support up to 30,000 women-owned small and medium-sized enterprises,” she said.