Banks urged to boost loans for women-led businesses

Banks have been urged to eliminate lending biases and extend more credit to women-led enterprises to bridge financial gaps and support economic growth.

Speaking at the Aggrey-Fraser-Guggisberg Memorial Lectures, Mrs. Josephine Anan-Ankomah, Regional Executive at Ecobank for Central, Eastern, and Southern Africa, emphasized the need for financial institutions to rethink their approach to funding women-owned businesses.

Despite their growing influence, women entrepreneurs still face significant barriers to accessing finance. She called for policy reforms, innovative financial products, and a cultural shift in banking to support these businesses.

Highlighting that women-led enterprises grow steadily and have lower non-performing loan rates, she warned that traditional banking models, which prioritize collateral over potential, are causing banks to miss valuable opportunities.