President Highlights Entrepreneurship as a Key to Lifting Women Out of Poverty

“Empowering women leads to stronger economies, increased productivity, and overall economic growth,” President Ramaphosa said.

In his weekly newsletter to the nation, President Cyril Ramaphosa underscored the vital role of entrepreneurship in elevating women from poverty, emphasizing the importance of enhanced collaboration between government, business, labor, and civil society.

President Ramaphosa pointed out that a united effort involving government and business, coupled with support from labor and civil society, can significantly boost women’s financial independence through entrepreneurship. He highlighted various initiatives by the private sector, such as start-up incubators, women entrepreneurship awards, and programs like the Youth Employment Service, which are instrumental in guiding women on their entrepreneurial journeys.

The President noted that while the government is facilitating women entrepreneurs through the Social Employment Fund and similar programs, there is more that can be done by the private sector. He stressed the necessity of improving access to financial resources, including credit lines, and expanding financial inclusion tools like bank accounts and mobile payment technologies, especially for women in the informal sector and rural areas.

“Empowering women leads to stronger economies, increased productivity, and overall economic growth,” President Ramaphosa said.

He reflected on the recent commemoration of the Women’s March to the Union Buildings on 9 August 1956, where over 20,000 South African women protested against apartheid's injustices. Despite the progress made in gender equality over the past 30 years, the President acknowledged that significant challenges remain in enhancing women’s economic participation.

According to a recent Gallup study titled 'Gender Power in Africa', while South Africa leads in female political participation, education, and low child marriage rates compared to other surveyed countries, it also has the highest unemployment rate among women and the lowest rate of women entrepreneurs at just 5%. This contrasts with the broader African continent, where women make up 58% of the self-employed population.

“In a country with high unemployment, fostering entrepreneurship is crucial for empowering women and increasing their economic involvement, including in the informal sector which constitutes 18% of total employment,” President Ramaphosa stated.

He highlighted the government’s efforts to support women-owned businesses through financial aid, training in business management, IT, and other skills. Additionally, he emphasized the target of allocating at least 40% of public procurement spend to women-owned businesses and the success of the Women’s Economic Assembly in integrating these enterprises into local industry value chains, particularly in the automotive sector.

The President also noted the government’s commitment to expanding women’s access to economic activities through land ownership initiatives, which support female farmers with land, equipment, and agricultural inputs.

“Women-owned businesses across the country, from citrus farms in North West to cosmetics companies in the Western Cape, are benefitting from a coordinated approach to small business support,” President Ramaphosa concluded.