Savings can help businesses expand, by enabling them to finance lumpy investments and absorb unexpected shocks. However, several barriers stand in the way of women firm owners in developing countries who want to increase their savings.
Women own more than half of all micro, small, and medium enterprises in Indonesia. But of the estimated 22–33 million businesswomen in the country, most operate informal unregistered microenterprises, with significantly fewer assets and profits than men’s.
Women’s economic empowerment is increasingly recognized as critical to achieving development outcomes around the world. Informed by a roundtable discussion at the Center for Global Development (CGD) and additional suggestions from CGD researchers, this four-point memo aims to issue practical proposals for the next US administration, particularly aimed at economically empowering women and girls worldwide, as a building block toward the full realization of broader gender equality and women’s agency and empowerment. The recommendations build on those in CGD’s The White House and the World briefing book, as well as the CGD policy memo “A US Law or Executive Order to Combat Gender Apartheid in Discriminatory Countries” and ongoing work at CGD focused on women’s financial inclusion.