Economic Empowerment
The majority of female entrepreneurs in Zimbabwe have a negative perception on obtaining credit from financial institutions, a recent survey shows.
The survey titled "An Analysis of the Enabling Environment and Potential for Women's Empowerment" by Dr Charity Manyeruke on behalf of the Women Alliance of Business Associations in Zimbabwe (Wabaz), however, highlights that a significant segment of female entrepreneurs have not attempted to obtain funding from financial institutions.
The survey assessed women in business in 10 cities, namely Harare, Kadoma, Marondera, Gweru, Masvingo, Bulawayo, Gwanda, Lupane, Bindura and Mutare.
According to the study, 34 percent of the female entrepreneurs who undertook the survey consider obtaining credit from commercial banks as "very difficult".
Thirty-one percent of the respondents also perceive obtaining credit from micro-credit institutions as very difficult.
Obtaining credit from a Government small-to-medium enterprises (SME) programme fares no better, with 38 percent of the respondents reporting that it is very difficult.
Nearly 36 percent of the respondents believe that accessing credit from a donor credit programme is just as taxing.
It is, however, interesting that at least a quarter of the respondents have not even attempted to acquire credit from the indicated sources, a factor that may appear to be attributable to lack of information on their part.
The study reveals that the majority of the respondents (at 59 percent) were largely unaware of both private and public sector programmes that fund women entrepreneurs.
This is closely related to the fact that of the surveyed population, the majority (63,5 percent) were not members of any business forums, chambers of commerce or non-governmental organisations.
Zimbabwe does not have a specific female chamber of commerce. However, the setting up of Wabaz is expected to play a critical role in the establishment of a fully-fledged women's business chamber, along the lines of the Zimbabwe National Chamber of Commerce.
Such platforms can help women in business to engage both the Government and the private sector on challenges facing them, including macro-economic challenges such as the prevailing liquidity crunch.
Dr Manyeruke said that the Government should increase both allocations for gender mainstreaming and the accompanying publicity campaigns.
"Government, through the Ministry of Finance, should allocate more funding for women entrepreneurs.
"There should be an aggressive information campaign so that the resources do not end up benefiting the few with information and the right connections," she said.
Some of the respondents cited discrimination as a key impediment to acquiring funding.
Nearly 66 percent of women entrepreneurs indicated that they had felt discriminated against by bank officials.
The challenge of the Government therefore is to create a conducive business-operating environment in which both male and female entrepreneurs can excel.
Dr Manyeruke believes that the survey and report would help assist Government and the private sector in developing appropriate gender-sensitive policies, services and products to create an enabling environment for female entrepreneurs in the country.