Women Entrepreneurship & Trade: Addressing the barriers for increasing participation

Business Initiative Leading Development (BUILD)

1 April 2019

Women in Bangladesh

Economic Status

Female Labour Force-20 millionEmployed female population- 18.6 millionFemale labour force participation rate-36.3%Employment by informality-91.8%Women entrepreneurs- 0.56 million or 7.21% of the total

Female Employment by Sector

Industry-24.9%

Service-29%

The entrenched inequalities and discriminatory social norms that keep women restricted to low-paid, poor-quality jobs will likely be magnified by the impacts of the 4IR-WEF

Social Status

Literacy rate (7 years & over): 63.4%

HCR of incidence of poverty (2016) : less for the female headed; 19.9% for the female headed household, whereas, it is 24.8% for the male heads.

Women in Bangladesh: Changes in Status

• Industrial development in Bangladesh insufficiently absorbs female workers.

• Women’s enterprises were confined in sectors, such as food and beverage, beauty parlor, health, education, weaving, tailoring and wholesale and retail apparel trade.

• Situation is improving slowly; • Women increasingly take part in the labor force;

• possess top management post in private and public sector enterprises;

• sit in the most important policy making bodies of the country,

• Becoming entrepreneurs and owning enterprises.

• as owners and managers of cold storage, shipping lines, advertising firms, travel agencies, interior decoration, engineering workshops and even garment industries, etc.

Gender Gap

CountryGlobal Index

Economic Participation &

OpportunityEducational Attainment

Health & Survival

Political Empowerment

Iceland 1 16 39 121 1

Philippines 8 14 1 42 13

Bangladesh 48 133 116 117 5

Sri Lanka 100 125 90 1 65

India 108 142 114 147 19

Maldives 113 101 27 144 132

Bhutan 122 104 125 141 138

Pakistan 148 146 139 145 97

Source: The Global Gender Gap Report 2018, WEF

Economic Participation & Opportunity: Rankings by sub-index, 2018

Country Rank Score

Maldives 101 0.622

Bhutan 104 0.619

Nepal 110 0.608

Sri Lanka 125 0.549

Bangladesh 133 0.441

India 142 0.385

Pakistan 146 0.318

Source: The Global Gender Gap Report 2018, WEF

Women in Trade Organizations

• Initiatives and decisions are taken in these trade bodies: Support business community for ensuring better policy support from the government

• Lack of representation of women entrepreneurs in trade bodies: cannot raise their voices for the betterment of women in business community.

OrganizationTotal Board Member Women in Board

FBCCI 61 6

MCCI 13 2

DCCI 18 0

BGMEA 35 0

BKMEA 27 0

BTMA 27 2

REHAB 27 1

Challenges: Addressing Issues

Scale of Operation Small size of entrepreneurship

Lack of capacity• lack of skills in building marketing network,

trade negotiations etc); • Lack of technological skills and use of Old and Manual

Technology-based Production Procedures • Lack of capacity to deal with bureaucratic procedures in

handling businesses

Lack of access to information • lack of information about export markets and

international demand; • lack of information on trade procedures;

Challenges: Addressing Issues (Cont.)

Lack of resources• insufficient capital and difficulties in obtaining

bank loans;• Access to sufficient raw materials

Policy induced constraints and regulatorybarriers

• Challenges on the government policies andprocedures

• Limited participation of women in tradeassociations and chambers;

• Regulatory environment is complex for women tounderstand and deal with

Invisible Barriers Corruption & Briberies Social Taboo

Challenges: Technological Aspect

Online marketing is not popular

Information Ecosystem in the field oftechnology is not in favor of women;

WOB refrain from proper use of ICT andnot aware fully the benefits of its use;

There are a number of machineries/equipment available but because of lack ofinformation/ knowledge they cannot useit;

Cyber-crime discourages SMEs and WOBin this sector to do business, cybersecurities is not enough;

Branding & IPR is not popular

Gender Aspect in SDGs and 7th Five Year Plan

• Plan will strive for just, equitable and inclusive economic growth, gender equality and social development while protecting the environment.

• 7FYPTarget: Achieve gender equality and empower all women and girls (SDG 5)

– Gender Parity Index in tertiary education to be raised from current 0.70 to 1.0.

– The ratio of literate female to male for age group 20-24 to be raised to 100%from the current 86%.

– Increase the share of female officers (Grade-9 and above) in

– the public sector to 25% by 2020.

• Ensure women’s full and effective participation and equal opportunities for leadership at all levels of decision making in political, economic and public life

• Devise Actions to achieve the targets within 7th FYP (2016-2020)

– Enhance access to and control over productive resources

– Increase participation and decision making

– Improve institutional capacity, accountability and oversight

About BUILD: Who we are & what we do?

• A PPD Platform working since 2011- a

joint Initiative of DCCI, MCCI & CCCI

• Registered under Trust Deed

• Receives support from IFC-WBG in

partnership with the UK Govt. & the EU

• Focused on concrete & demonstrable

business reforms, backed by sound

research and analysis & supported by

strong advocacy

• Established as a structured mechanism

to advocate for private sector through

thematic Working Committees

• Recognized as the strategic partner &

providing Secretarial services to the PSD

PCC at PMO

• Working for regulatory simplification &

unlocking investment potentials,

partnership through MOUs with national

& international organizations.

Report to the PSDPCC at PMO

- Adviser to the Hon’ble PM

- Principal Secretary

Proposed Reforms & Success

Proposed Approved Implemented In process To review

690 341 203 122 333

19

65

63

138

131

87

187

19

57

41

74

46

46

58

13

35

23

43

28

29

32

6

22

18

30

14

17

15

0

3

21

61

77

39

132

2012

2013

2014

2015

2016

2017

2018

2012 2013 2014 2015 2016 2017 2018

Proposed 19 65 63 138 131 87 187

Approved 19 57 41 74 46 46 58

Implemented 13 35 23 43 28 29 32

In-process 6 22 18 30 14 17 15

To review 0 3 21 61 77 39 132

BUILD'S RECOMMENDATIONS STATUS (2012-2018)

Objectives of BUILD: Inclusion of Gender in sectoral studies

Inclusive platform

Linking industry to academia

Leadership by Tier-1 and Brands

Networking with WE and identify socio-economic barriers for developing entrepreneurship

Acting as Inclusive platform for

including women in

national institutions, policies & agendas

Supporting women entrepreneurs in the private sector through developing recommendations for policy reforms

Capacity building of women entrepreneurs to actively participate in economic operations and developing entrepreneurship

Objectives of IncludingGender Issues in Research

BUILD Studies on Gender Related Issues

Collateral Free Loan for Women Entrepreneurs

Objective: Reasons why the Banks and FI are not allowing WEs to get the collateral free financing that allowed for them by Bangladesh Bank

Recommendations developed on the basis of stakeholders’ consultation

Further research in progress

Developed policy recommendations based on identified problems and findings

Objective: Find out the constraints of access to technology for women entrepreneurs;

Suggest some policy prescriptions for enabling women entrepreneurs to an increased access to technology

Access to technology for Women Entrepreneurs: A Study on Women SME Entrepreneurs in Bangladesh

BUILD Studies on Gender Related Issues (Cont.)

Public Procurement Policy & Gender Perspectives

• Sources of public expenditure, key areas & ministries responsible; Policies on procurement; Weaknesses of general procurement system etc.

•Gendered Public Procurement Policies in Different Countries

•Prevailing Scope for Women & barriers faced

• Developed report: Recommendations with proposed actions

• Policy Recommendation to CPTU

Further collaboration with CPTU for training and awareness building among

women entrepreneurs

BUILD Studies on Gender Related Issues (Cont.)

Baseline Survey to Measure Time, Cost and Process Requirements related to Export and Import for Women-Owned Enterprises

•Identify the process map of exportand import of majorsectors/products;Analyze time/ cost/ processrequirements/ stages/documentation procedure forexport and import of the selectedsectors/products;

Identify the gender discrimination in the process requirement and stages of export and import

Stakeholder consultation on trade related barriers for women entrepreneurs

Initiatives Unveiling Future Scopes

• BIDA, BB, FBCCI, DU, UNDP, Chemonics International Ltd. Advantage Austria, Business New Zealand etc.

Supports & Networking with International & National organization for more research, surveys for WED

• Need assessment workshops to be organized in collaboration of the partners for taking inputs from relevant stakeholders

• Two workshops to be organised on challenges facing the SME sector (Focusing on WE): Marketing Strategy for SMEs & Product Development- Quality & Technological Issues,

• Focusing on promotion of ICT applications to SMEs with adoption of technologies• Future agenda: More issues to be addressed related to SME and WE; policy level

recommendations to be developed at sectoral level

Ministry of Industries/ PRISM/Ministry of Commerce

• Sectoral Studies: Leather & Leather Goods, Footwear, Plastic, Engineering & Electronic Goods

Ministry of Commerce for Sectoral Research

Some Future Agenda

• Awareness building among women entrepreneurs in Bangladesh on SCP in their production operation for sustenance

• SCP Assessment Report for Bangladesh & Road map/ Vision 2030

Growing Awareness Among Women Entrepreneurs on Sustainable Production & Consumption

• Analysis of previous national budgets of the government for identifying the extent of gender related allocation

• Identify areas of gender allocation• Research on identifying areas requiring allocation for women

Gender Budget

• Public Procurement, SME Policy• Business Start-up License Guide

Research for Advocacy for Policy Support for WED

Thank you