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Helping Poor Women Grow Their Businesses with Mobile Savings, Training, and Something More?

Growing a business is not easy, and for women firm owners the challenges can be acute, especially when they are poor and run subsistence level firms. In developing countries, 22 percent of women discontinue their established businesses due to a lack of funds, and women are more likely than men to report exiting their businesses over finance problems, according to the Global Entrepreneurship Monitor. Meanwhile, personal savings are a crucial source of entrepreneurial financing, and nearly 95 percent of entrepreneurs globally state that they used their own funds to start or scale up their businesses. Women, however, face unique constraints in accumulating savings to invest in growing their firms.

The Next Billion Customers: Is Technology the Key to Closing the Global Gap in Financial Services?

Over 1.7 billion adults worldwide remain unbanked, but two-thirds of them own a mobile phone that could easily connect them to the financial services they need. Governments could leverage digital payments to bring wages, pensions, and services directly to their beneficiaries. Private sector banks could provide digital accounts, loans, and savings devices to a new, previously unreached market. And these unbanked adults could have safe and secure methods to save, invest, and transfer money.