Women’s entrepreneurship is already seen in Pakistan as an effective platform for educating and emancipating citizens. It is said that the benefits of women entrepreneurs are numerous and varied.
The number of women entrepreneurs worldwide is on the rise; which is definitely a positive sign for Pakistan’s households, societies, and economic growth. Nevertheless, the number of women entrepreneurs also lags behind the men in different states.
Experts called on policymakers and companies to explore approaches to help women entrepreneurs in ways that are suitable for the country’s economic growth stage and the country-specific cultural and realistic challenges that women face.
The 2016-2017 Global Entrepreneurship Monitor (GEM) ‘Women’s Entrepreneurship’ survey found that the average incidence of women’s early-stage entrepreneurial activity (TEA) rose by 10% in 20 years. The 2017-2018 GEM survey showed that the gender difference between men and women businessmen has declined by 6% since 2016.
Other researchers have shown that while men are more likely to become entrepreneurs; women are still a major and increasing driver of economic creation and employment growth that comes with global entrepreneurial activity.
Sadly, women businessmen in the country experience different obstacles. Pakistani women entrepreneurs are certainly hard-working. They just don’t depend on luck to be successful.
Experts have examined that the psychological aspects are a significant concern for the entrepreneurial activities in Pakistan. The risk-taking patterns among women entrepreneurs are not very high, but there has been a high general demand for achievement in Pakistani women.
The World Bank study also shows that fewer than 25% of Pakistan’s businesswomen are microfinance lenders, even though Pakistan’s microfinance climate is one of the most inclusive in the world.
The study also reported that patriarchal lending policies are pushing Pakistani women entrepreneurs to look outside micro-finance companies to establish and support their businesses. The study also noted that microfinance loans to companies remain generally inaccessible to women entrepreneurs, especially unmarried women who are considered high-risk lenders.
Micro finance companies impose stringent requirements that make it impossible for businesswomen to secure loans in the absence of men. Approximately 68% of women lenders needed approval from a male relative to apply for some kind of loan.
According to the World Bank Global Findex survey in 2017, only 7% of women had a financial services account. Compare it to 36% in Bangladesh, 77% in India and 58% in Saudi Arabia. South Sudan was the only nation that did worse than Pakistan.
In order to realize these advantages, women require access to a broad variety of financial resources, including deposits, loans, insurance and transfers.
Given the value of women entrepreneurs, women who want to start companies face inherent obstacles relative to their male counterparts in Pakistan. Some of these issues are practical, such as their needs for childcare.
Reference: https://www.pakistangulfeconomist.com/2018/10/29/significance-of-women-entrepreneurship-in-pakistan/
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