At its Africa Day in Addis Abeba, the European Investment Bank (EIB) signed today a new loan with the Ethiopian Ministry of Finance and Economic Cooperation “to further boost female economic inclusion and empowerment across the country.”
Earlier today, EIB delegation led by Werner Hoyer met with PM Abiy Ahmed
Addis Abeba, November 22/2018 addisstandard
photo: Earlier today, EIB delegation led by Werner Hoyer met with PM Abiy Ahmed
Accordingly, the EIB will provide a €30 million long term loan to women entrepreneurs in Ethiopia through the Ethiopia Women Entrepreneurship Development Project (WEDP). It is also funded by the World Bank (WB), which supports micro and small enterprises owned or partly owned by women entrepreneurs.
“This will address a major obstacle, especially for women encountering a lack of access to finance for their firms. They are often excluded by commercial banks due to the relatively small loan size they need and the excessive collateral requirements (cf. study),” the bank said in a statement.
The Ethiopia Women Entrepreneurship Development Project aims at improving access to finance and business opportunities for these underserved female entrepreneurs. By fostering financial inclusion and the growth of women owned micro-small businesses, the EIB is helping to create jobs and supporting women’s empowerment.
Werner Hoyer, EIB President who is in Ethiopia, said: “To fight poverty and accelerate development we must tackle the obstacles that limit women’s potential. Gender equality is also a core European value and central to the European Union’s external policies which the EIB is committed to deliver. As the EU bank and one of the world’s largest multilateral lenders, the European Investment Bank can make a real difference by investing in projects that promote women’s inclusion and empowerment. By doing this we support the achievement of the UN’s Sustainable Development Goals. It is not just the right thing to do: it’s smart economics.”