‘There’s a $42 billion gender gap for financial inclusion in Africa’ — AUC

The gender gap in access to financial services in Africa is costing the continent an estimated $42 billion each year, according to the African Union Commission (AUC).

In an effort to boost women's economic empowerment, the AUC is stepping up work to close this gap through new initiatives targeting women and youth.

Speaking at the launch of the AUC's flagship “1 Million Next Level” youth-focused program, Prudence Ngwenya, Director of the AUC's Women, Gender and Youth Directorate, stressed the need for greater investment in women's economic capacity and inclusion.

"One of the things that have been lacking in terms of investment is capacity and economic empowerment for women. So currently, the gender gap for financial inclusion on the continent is 42 billion US dollars," Ngwenya said.

“We need to do a bit more and call on all stakeholders to make sure that our women and young people are well set on the ladder for change by being included financially and economic,” she stressed.

Ngwenya noted that the theme for International Women's Day this year, "Invest in Women," highlights the AUC's push to boost capital and opportunities for female entrepreneurs and workers.

Closing the $42 billion financial inclusion gap could unleash significant economic activity, according to AUC estimates.

Through initiatives like the 1 Million Next Level program and a new Women & Youth Financial and Economic Inclusion 2030 Initiative, the AUC aims to expand access to education, jobs, healthcare and other opportunities that can help address issues like youth unemployment while empowering women economically.