Women entrepreneurs can boost global GDP by $5 trillion: Report | Current Affairs | Vision IAS
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Women entrepreneurs can boost global GDP by $5 trillion: Report

Posted 20 May 2025

2 min read

Report by Cherie Blair Foundation for Women emphasizes that Women entrepreneurs are critical drivers of economic growth and poverty reduction in low- and middle-income countries.

  • If women were able to participate equally as entrepreneurs to men, global GDP could be boosted by as much as $5 trillion – about the size of Japan’s economy.
  • Despite the significant ownership of the businesses (50% in Latin America, 44% in East Asia), women entrepreneurs face systemic challenges that hinder their business success.

Key Challenges Faced by women entrepreneurs

  • Finance Access: High borrowing costs, strict collateral requirements, and limited financial literacy block business growth capital.
  • Registration Barriers: High costs and complex bureaucracy prevent formal business registration.
  • Internet Gap:  While 92% of women entrepreneurs in LMICs surveyed own a personal smartphone, 45% lack regular internet access due to high data costs and unreliable connectivity.
  • Online Safety Barriers: report finds that 57% of surveyed women entrepreneurs have experienced some form of online harassment.
  • E-commerce Limitations: Less use of e-commerce platforms due to high costs, payment distrust, and complex onboarding.
  • Mobility Restrictions: Women need accompaniment, special arrangements and some also have to deal with time restrictions due to safety concerns.
An infographic titled "Key Recommendations for Gender Equality" with five illustrated sections:  Digital Access: Icon of a hand holding a key with a globe. Text: "Expand affordable internet, digital literacy & AI training to close gender digital divide."  Business Formalization: Icon of a clipboard and briefcase. Text: "Streamline registration & remove barriers."  Legal Protection: Icon of scales of justice held by hands. Text: "Strengthen laws against gender-based violence with enhanced reporting systems."  Financial Inclusion: Icon of a dollar sign with interconnected arrows. Text: "Enhance mobile money & digital payment options for greater access."  Online Safety: Icon of a person on a computer with a security shield. Text: "Use human & AI moderation tools to combat harassment."
  • Tags :
  • Digital Economy
  • Gender Equality
  • Women Entrepreneurs
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