Advancing Equality: Legal Barriers and Economic Impact on Sexual and Gender Minorities

The World Bank’s 2024 report on sexual and gender minorities highlights the widespread lack of supportive legal frameworks across 64 countries, emphasizing the need for policy reforms to promote inclusion and equality. It links inclusive legal environments with economic growth and calls for the decriminalization of same-sex relations, protection from discrimination, and enhanced access to services.

The World Bank’s latest report explores the legal and policy frameworks affecting sexual and gender minorities across 64 countries. It expands on the previous 16-country study and aims to provide a deeper understanding of how discriminatory laws, regulations, and policies impact these communities. The study collects data through questionnaires filled out by local legal experts, academics, and civil society advocates on sexual orientation, gender identity and expression, and sex characteristics (SOGIESC) issues. The analysis seeks to inform legislative reform and support inclusive development by offering an evidence base for policymakers and governments.

Limited Progress in Legal Frameworks Supporting Equality

The report’s findings paint a mixed picture of progress toward equality for sexual and gender minorities. Despite some advances, legal and regulatory frameworks remain inadequate in most countries. Only three countries Canada, France, and Spain have high levels of regulatory frameworks that fully support equality for sexual and gender minorities. The majority of the 64 countries analyzed show either moderate or low levels of support, with many lacking essential legal protections against discrimination. Of particular concern is the continued criminalization of same-sex sexual activity in 22 countries, and in eight countries, laws specifically target gender identity and expression, often through anti-cross-dressing provisions. These legal frameworks severely hinder the ability of sexual and gender minorities to participate fully in society, undermining their access to basic rights such as education, healthcare, and employment.

Educational Barriers Limit Future Opportunities

Access to education is one area where many sexual and gender minorities face significant challenges. Discrimination, bullying, and harassment in school settings are common, contributing to lower educational attainment and limiting future economic opportunities. Only 20 countries in the study explicitly prohibit discrimination in educational settings based on SOGIESC, and even fewer just seven countries prohibit bullying, cyberbullying, and harassment on these grounds. In terms of inclusive curricula, only four countries have implemented SOGIESC-inclusive education, further highlighting the gaps in educational equity for these communities. These gaps have far-reaching effects on sexual and gender minorities’ future prospects, as education is closely tied to employment opportunities and economic empowerment.

Employment Discrimination Remains a Major Obstacle

Employment discrimination remains a significant barrier to equality for sexual and gender minorities, with only 44% of the countries analyzed having legislation that prohibits discrimination in the workplace. Furthermore, only 34% of countries have mechanisms in place to report and investigate such discrimination. Without clear protections in the labor market, sexual and gender minorities often face unequal treatment in hiring, promotion, and salary decisions, which limits their ability to build economic security and contribute fully to their communities. This exclusion from the labor market perpetuates a cycle of poverty and marginalization for many sexual and gender minorities, particularly in regions where legal protections are weakest.

Access to Services and Social Protection Is Inadequate

Access to services and social protection is another critical issue addressed in the report. Many sexual and gender minorities experience significant barriers in accessing healthcare, housing, and social protection services due to legal discrimination and societal stigma. Of the 64 countries surveyed, only nine provide explicit legal protections against discrimination in all three areas of services. These countries include Canada, Fiji, France, Germany, South Korea, Kosovo, Mauritius, Mexico, and South Africa. For transgender individuals, the inability to update gender markers on official identification documents further exacerbates these barriers. Although 27 countries allow individuals to change their gender on identification documents, only 14 allow legal gender recognition based on self-identification, which helps eliminate administrative hurdles. Intersex individuals face additional challenges when laws only recognize binary gender options at birth, affecting their ability to access services that align with their gender identity.

Political Inclusion and Hate Crime Protection Lag Behind

Political inclusion for sexual and gender minorities remains limited in many regions. The report reveals that only 19 countries have openly sexual or gender minority members in national elected positions, cabinet roles, or the judiciary. Furthermore, national action plans to promote inclusion are present in only 17 countries. Legal recognition of same-sex marriages or civil partnerships exists in only 14 countries, with some also recognizing marriages performed abroad. The legal landscape is still restrictive in other areas as well. For example, only seven countries have laws that prohibit irreversible surgeries on intersex children without medical necessity, and only eight have banned “conversion therapy” practices. The lack of legal protections against hate crimes is especially troubling, with just 21 countries criminalizing hate crimes motivated by sexual orientation and 17 countries doing so based on gender identity or expression. The absence of equivalent penalties for hate crimes against sexual and gender minorities further exposes these groups to violence and social stigma.

Despite these challenges, the report highlights the positive relationship between SOGIESC inclusion and economic development. Countries with more inclusive legal frameworks tend to have stronger economies, better governance, and higher human capital. Wealthier nations are generally more inclusive, as evidenced by the positive correlation between per capita GDP and overall EQOSOGI scores. While the report acknowledges that correlation does not imply causality, the data suggest that inclusive policies benefit both marginalized communities and the broader society. By promoting equality for sexual and gender minorities, countries can foster social cohesion, economic growth, and resilience.

The World Bank’s report concludes with a call to action for countries to repeal discriminatory laws, enact protections against violence and discrimination, and ensure legal gender recognition for transgender and intersex individuals. It emphasizes that the path toward inclusive development is not just a matter of human rights but also a critical component of economic and social sustainability.