Tackling systemic barriers towards the participation of young women in Africa’s workforce will drive an estimated $287 billion to its economy by 2030, boosting GDP by five per cent, a new report commissioned by the Mastercard Foundation reveals.
Conducted in collaboration with McKinsey & Company, the study reinforced the crucial role of women’s economic empowerment in driving the continent into a new era of transformational growth.
The report, ‘Young Women in Africa: Agents of Economic Growth and Transformation By 2030’ outlined a series of immediate, actionable solutions for government, private sector, and civil society to reverse the steep decline of young women’s contribution to Africa’s GDP from 18 per cent in 2000 to just 11 per cent in 2022.
The most pivotal areas to tackle include care burdens that restrict women’s access to the labour market, poor education completion rates, the need to bolster competitive skills in key sectors and adopt gender-inclusive employment policies, and lack of access to financial services.
The report noted that effective private sector-led approaches and government-funded models focused on expanding childcare centres and employer-provided childcare can alleviate the burden of care on young women and create over 11 million jobs by 2030.
With agriculture, education, food and accommodation, trade, wholesale, and retail sectors among Africa’s highest employers of young women, the Foundation advocates for the roll-out of apprenticeships and boot camps to accelerate women’s participation in these high-growth areas.
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The ICT sector is also identified as a leading industry to catalyze substantial productivity, boasting a higher rate of remuneration for women compared to men in Nigeria, Ghana and Uganda.
The study spotlighted Namibia as a key model for other African nations to follow in prioritising the economic benefits of gender equality, having increased women’s economic participation from 40 per cent to 42 per cent in just five years. Egypt, the Democratic Republic of Congo, Ethiopia, Kenya, Mali, Nigeria, Rwanda, Senegal, Tanzania, and Uganda have the potential to achieve the fastest growth should they replicate Namibia’s strategy.
Speaking on the launch of the report, Director of Gender Programmes at the Mastercard Foundation, Marieme Esther Dassanou, said: “Empowering young women in Africa is both an economic imperative and a transformative opportunity for the continent. By addressing systemic barriers, enhancing skills, and fostering gender-inclusive policies, we can unlock $287 billion in additional GDP by 2030. We need to create environments where women can succeed as employees and entrepreneurs, ensuring Africa’s growth will be inclusive, sustainable, and driven by the full potential of its young women’s population.”
The Foundation said it will expand successful programmes aimed at transforming the educational landscape for women and girls. Over the next seven years, the Foundation will scale its long-standing partnerships with the Campaign for Female Education (CAMFED) and Forum for African Women.
