Economic Empowerment for Women in Asia

SUPPORTING WOMEN ENTREPRENEURS

The Asia Foundation is committed to improvingbusiness environments that encourage women’sentrepreneurship and participation in economiclife. Working with experienced local partners thatinclude women’s business associations and tradegroups, chambers of commerce, local NGOs, citymunicipalities, and subnational governments, theFoundation’s projects identify and target legal,regulatory, and cultural constraints that womenentrepreneurs face. Our intent is to provide current and aspiring women business-owners witha full range of tools, including access to informa-tion and credit, business management training,and networks to help them develop more prof-itable and productive micro, small, and mediumenterprises (MSMEs). These efforts raise the visibility of women as important actors in the private sector and facilitate their active participa-tion in public-private dialogues so their voices canbe heard in local and national policy spheres.

IDENTIFYING BUSINESS CONSTRAINTS

The Asia Foundation has decades of experienceworking at the nexus between women’s empower-ment and economic development. Through tar-geted quantitative and qualitative research and theimplementation of innovative projects, theFoundation addresses a broad range of obstaclesfaced by women entrepreneurs. For example in

Indonesia, Malaysia, the Philippines, andThailand, the Foundation conducted research, inpartnership with APEC and the U.S. Departmentof State, to identify specific policy, financial, andcultural constraints to women’s ability to start andgrow SMEs. The report, Access to Trade andGrowth of Women’s SMEs in APEC DevelopingEconomies, identifies a distinct set of economic,political, and social factors that affect women-runand -owned SMEs. Barriers include access tofinance, participation in formal networks, exposure to innovative technologies, and lack of social support systems. The report includesspecific recommendations for governments andregional bodies to build more inclusive andenabling business environments to increase thepotential of women to contribute to local, national, and regional economies.

NETWORKING AND INFORMATION

COMMUNICATION TECHNOLOGY

In conjunction with our SME research, The AsiaFoundation organized in-country and regional business networking workshops in Indonesia,Malaysia, the Philippines, and Thailand to connectwomen across borders and identify strategies to bet-ter support women-run businesses. In Mongolia, theFoundation hosted a consultative meeting bringingtogether business women from across the country todiscuss factors affecting their business operations as

Women’s economic empowerment is widely recognized as a key driver of national and regional povertyalleviation and job creation. However, women-run businesses are constrained by a set of institutionaland cultural barriers. The UN has estimated that the Asia-Pacific economy would grow by an additional$89 billion annually if women were able to achieve their full economic potential. It is also widelyacknowledged that a woman’s income directly translates into gains for her family and community.

“Studies show that

investing in women

is a high yield

investment as gender

equality in access

to education, health-

care, political

and economic

participation is key to

a country’s competi-

tiveness and

prosperity. It is a fact

that women-run

SMEs drive

economic growth

and create jobs.”

– Amb. Melanne

S. Verveer, Former

Ambassador

at Large for

Global Women’s

Issues and

Asia Foundation

Trustee

WOMEN’SECONOMIC

EMPOWERMENT

well as steps to address them. Follow-up activities,including support to a resource center and an incu-bator for women in business, are being considered.

Across South Asia, women’s ability to start and growbusiness is constrained by factors like restrictive government regulations, cultural barriers, and lackof access to relevant networks and information. Inpartnership with the U.S. Department of State, theFoundation is supporting business women inBangladesh, India, the Maldives, Nepal, and SriLanka to connect regionally, gain business skills and information, and engage in regional trade.Cross-country exposure tours have allowed delega-tions of South Asian business women to engage with successful women-run businesses and have meaningful conversations with leaders. Project successes include a Facebook page with over 32,000participants, online webinars to build capacity ofwomen entrepreneurs, and promotion of regionalconnectivity through five small grants to localNGOs. A business-to-business portal will furtherconnect and provide market opportunities forwomen across South Asia.

In Bangladesh, women are 40 percent less likely touse the internet than men, irrespective of income andeducation status. In this context, providing access toinformation for women entrepreneurs is a difficulttask, but one that can yield enormous benefits. TheAsia Foundation, in collaboration with the country’ssecond largest telecom operator, Banglalink, launcheda mobile phone network that capitalizes on the country’s 100 million phone subscribers to helpwomen entrepreneurs in rural districts overcomecommon barriers. The initiative connects womenentrepreneurs to a business hotline, business directory,and e-commerce platform to buy and sell products.

The Foundation has also provided information andtraining on regional economic cooperation in thecontext of the ASEAN Economic Community(AEC) to SMEs, where the majority of participantswere women SME owners. Promising women entre-preneurs Asia-wide are also invited to participate inregional meetings and forums.

SUPPORTING BUSINESS DEVELOPMENT

AND ACCESS TO FINANCE

In China, The Asia Foundation is facilitatingaccess to finance for migrant women entrepre-neurs. China’s economic transformation over thepast three decades has generated a wave ofmigrant workers, with hundreds of thousands ofwomen moving from rural areas to urban centers

in search of jobs. Some of them bring entrepre-neurial ambitions of developing their own busi-nesses but have difficulty obtaining credit. TheFoundation has partnered with a local NGO toprovide business skills development and businessplan design training to 280 migrant womenentrepreneurs. These women will also be giventhe opportunity to apply for small loans. TheFoundation’s previous work with migrant womenin Beijing expanded borrowers’ business revenueby 79 percent and profits by 23 percent over aloan term of up to 12 months.

In Indonesia, the Foundation also supports effortsto improve the entrepreneurial skills of womenSME owners and increase access to capitalthrough microcredit. The Foundation and itspartner, the Center for the Development ofWomen’s Resources (PPSW), have provided valuable skills to members of local women’sgroups in areas such as bookkeeping, businessdevelopment, and establishing local microfinanceinstitutions.

In Bangladesh, the Foundation worked with theInternational Finance Corporation to organizedistrict women’s business forums to expand loanopportunities for women entrepreneurs by com-mercial banks. By interacting with the BangladeshCentral Bank and several commercial district-levelbanks, the forums were able to increase theamount of collateral-free loans made to womenentrepreneurs through women’s SME desks set upinside banks.

VOCATIONAL TRAINING

In Myanmar’s evolving business environment, theFoundation helps women to gain a foothold inthe market. The Asia Foundation supports asocial enterprise called Yangon Bakehouse to provide vocational training for very disadvantagedwomen so they may successfully enter the bur-geoning market for pastry chefs and cooks.

And, in Nepal, where women are among the mostimpoverished members of society, the Foundationsupports improved employment opportunities forwomen. For example, the Foundation partneredwith the Nepal GoodWeave Foundation to providebetter employment opportunities and workingconditions for women in the handmade carpetindustry–all of whom are in dire need of economicopportunities and are at-risk for human trafficking.

HEADQUARTERS465 California Street, 9th FloorSan Francisco, CA 94104 USATel: (415) 982-4640Fax: (415) 392-8863info@asiafound.org

WASHINGTON, DC1779 Massachusetts Ave., NWSuite 815Washington, D.C. 20036 USATel: (202) 588-9420Fax: (202) 588-9409info@asiafound-dc.org

www.asiafoundation.org

08/2014

The Asia Foundation

is a nonprofit international

development organization

committed to improving

lives across a dynamic

and developing Asia.

Headquartered in San

Francisco, The Asia

Foundation works through

a network of offices in

18 Asian countries and in

Washington, DC. Working

with public and private

partners, the Foundation

receives funding from

a diverse group of

bilateral and multilateral

development agencies,

foundations, corporations,

and individuals.