- The EIB Global and Moza Banco initiative, as part of the EU’s Global Gateway strategy, will offer financing for small and medium-sized businesses in Mozambique, with a focus on businesses owned or run by women.
- Women are less likely to be able to access appropriate finance for their business, and the EIB-Moza Banco facility will address that financing gap.
- The project will support economic growth, prosperity and gender equality.
Access to finance for women entrepreneurs in Mozambique will increase thanks to a €10 million loan by the European Investment Bank (EIB) signed today. The financing will enable a new €20 million facility by Moza Banco which targets small and medium-sized businesses (SMEs) in the country.
The facility will offer loans with favourable conditions with a focus on businesses owned or run by women, which employ a significant number of women or which offer services specifically to women. The financing will be available in several sectors, including manufacturing, transport, agriculture, health and services.
The African continent has one of the highest percentages of women entrepreneurs in the world. More than three-quarters of working people in Mozambique make their living from a small or medium-sized business, and two-thirds of those working in these businesses are women.
“Women’s economic empowerment is essential to a country’s development,” said Thomas Östros, EIB Vice-President in charge of diversity and inclusion as well as operations in African countries. “By investing in small businesses run by women in Mozambique, the EIB helps them to access economic opportunities, build livelihoods and gain financial independence. Investing in these businesses is not only an investment in these women, it is investing in the education and health of their families, and in jobs. Women’s prosperity benefits society and the economy as a whole.”
Moza Banco’s Chief Executive Officer Manuel Soares said, “Moza Banco strongly believes in the transformative power of financing projects that strengthen the role of women in society, recognizing that this not only drives economic development but also promotes the financial independence of this important social group. In Mozambique and, also in the African continent, we observe a growing determination among women to take on leadership roles and become protagonists of their own trajectories. We have a strong desire to catalyze the potential of these women by creating facilities for accessing resources and opportunities that not only elevate the position of Mozambican women in the economy but also foster the construction of a more inclusive and equitable society.”
Ambassador of the European Union to Mozambique Antonino Maggiore said, “The Global Gateway strategy in Mozambique aims to boost public and private investment to create sustainable growth and jobs for the country’s growing youth population. One of its priorities is therefore to ensure that SMEs, particularly those led by women, have more access to finance. The European Union holds great expectations for the outcomes of this finance facility to fully harness the potential of the Mozambican private sector.”
Small businesses are a key driver of economic growth and development, providing goods, services, jobs and income to the local community. To thrive, in particular in the face of climate pressures and an inhospitable global economy, they need appropriate funding. However, statistics show that, worldwide, women are less likely to be able to access the finance they need. The EIB-Moza Banco facility will address this financing gap with financial tools and products targeting the needs of women entrepreneurs.
