The G20 Empower Alliance is pushing for South Africa to adopt the World Bank's We-Finance Codes to improve financial access for women entrepreneurs. These voluntary principles aim to address a global $1.7-trillion financing gap faced by women-led businesses. An August event in South Africa highlighted growing interest among financial institutions and policymakers.
The World Bank's We-Finance Codes, introduced almost two years ago, provide a voluntary framework for financial institutions, regulators, and policymakers to broaden access to finance for women entrepreneurs. Key commitments include appointing a senior organizational champion, collecting sex-disaggregated data, and developing strategies to better serve women-led businesses.
Under the G20 Empower South Africa Alliance, chaired by Nhlanhla Mjoli-Mncube and themed 'Uhuru: Women Building Sustainable Income and Financial Independence,' efforts focus on accelerating women's inclusion in the private sector. Snowy Masakale, lead for the working group on Women’s Leadership in Corporate and executive head of strategy for Sanlam Private Wealth, champions this cause, emphasizing its role in translating broad commitments into tangible actions.
Global data underscores the urgency: the Global Entrepreneurship Monitor reports women as one-third of high-growth entrepreneurs worldwide and leading nearly two-fifths of export-oriented startups. Women's startup activity has risen from 6.1% to 10.4% over 25 years across 30 countries, yet women-led micro, small, and medium enterprises face a $1.7-trillion financing gap.
In South Africa, the country ranks in the top 20% globally for gender representation in leadership with a score of 0.795, per the SSE Report and World Economic Forum's Global Gender Gap Index, though it lags in economic participation and finance access. Notably, Johannesburg Stock Exchange top 100 companies hold 33% women on boards, exceeding the G20 average of 23%.
To date, 29 countries and over 250 financial services providers have adopted the codes. A late-August event co-hosted by the Gordon Institute of Business Science, G20 Empower, and W20 engaged banks, insurers, providers, and the National Treasury, sparking encouraging responses. Masakale calls adoption a moral and economic imperative as South Africa's G20 year progresses.