Africa has the highest rate of women entrepreneurs in the world; roughly half of all businesses are women-owned and 58 percent of women are self-employed. Yet, female-led businesses in the continent’s largest economy often face disproportionate barriers to funding. 

The CDC group, Britain’s development-finance arm, is boosting investment in women entrepreneurs and SMEs in Nigeria by providing a $100 million ($42 million Naira) credit line to First Bank of Nigeria. A minimum of $30 million will be allocated to women-owned businesses. The financing facility will also include a technical assistance programme that aims to build on the bank’s gender finance strategy, products and processes to scale the growth of women-led firms. 

The picture is similar for SMEs who struggle to access funding, although they contribute 48 percent to Nigeria’s GDP, account for 96 percent of firms and 84 percent of employment.

Nick O'Donohoe, managing director and CEO of CDC, said that women-led businesses are often the driving force behind the creation of new jobs and economic growth in the country. The funding will help tackle the “challenge of limited access” to cash faced by the “under-banked and underserved groups” in the country, O'Donohoe added. According to CDC estimates, around half of the population – 59 million Nigerians – are unbanked. 

UK minister for Africa, Vicky Ford said not “supporting” women and girls locks out half of Nigeria, in an interview in Abuja. “Enabling women to start and grow businesses is absolutely key to delivering economic prosperity, helping countries grow and tackling poverty.”