Women-led businesses in Africa raise significantly less funding than male-led counterparts. In 2017, female-led startups secured only $1 for every $25 raised by male-led startups, and this disparity persisted through 2024.
Despite making up 26% of all entrepreneurs in Africa, women receive less than 10% of total investment capital.
Women in Africa face structural financing challenges, including limited collateral, fewer investment networks, and biases in lending decisions.
While some countries have introduced financial inclusion programmes, overall access to credit for women remains disproportionately low.
The rise of women-focused venture funds, such as WIC Capital and Janngo, signals a slow but emerging shift towards more equitable funding distribution.
If this trend continues, Africa risks stifling economic growth by not fully leveraging the entrepreneurial potential of women-led businesses.
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