Unlocking opportunities: How female entrepreneurs can leverage on AfCFTA

In Africa, it is estimated that small and medium-sized enterprises (MSMEs) make up approximately 90% of all businesses and contribute to over two-thirds of employment opportunities. These enterprises are also becoming hubs of innovation. This upward trajectory underscores the vast potential of MSMEs to drive Africa’s socio-economic growth and actualize the goals of the Africa Continental Free Trade Area (AfCFTA). Despite their significant contributions to the continent’s development, MSMEs, especially those led by women, still face challenges when it comes to accessing international markets and distribution channels.

It is imperative to unlock the transformative potential of women and youth-led MSMEs by linking them with the opportunities presented by the unified African Market, facilitated by the free flow of people, goods, services, and investments across borders. By empowering these enterprises with improved access to markets, financing, and technology, we can enable them to thrive and make substantial contributions to Africa’s transformation.

Empowering female entrepreneurs in Ghana through the African Continental Free Trade Agreement (AfCFTA) is a crucial and empowering endeavor. The AfCFTA, effective from January 1, 2021, provides a unique platform for business growth and economic development in Ghana and across Africa. Female entrepreneurs in Ghana can harness this agreement in the following ways:

Market Access: The AfCFTA offers a single market for goods and services across Africa, opening doors for female entrepreneurs in Ghana to access a much broader customer base. They can expand their reach, establish partnerships, and tap into new markets across the continent.

Diversification: The agreement encourages diversification of products and services. Female entrepreneurs can explore a wider range of business ideas and industries to contribute to economic growth and job creation in Ghana.

Access to Capital: AfCFTA can facilitate access to financing from regional and international sources. Female entrepreneurs can leverage investment opportunities, loans, and grants to scale their businesses and drive innovation.

Networking and Collaboration: Entrepreneurs can connect with like-minded individuals and businesses across the continent. Collaboration and partnerships can lead to knowledge sharing, technology transfer, and increased competitiveness.

Capacity Building: AfCFTA presents an opportunity for female entrepreneurs to enhance their business skills and knowledge through training and development programs offered by various institutions and organizations.

Ease of Doing Business: The reduction of trade barriers and the streamlining of customs and border procedures under AfCFTA make it easier for female entrepreneurs to import and export goods. This simplification can significantly reduce costs and increase efficiency.

E-commerce Growth: The digital economy is flourishing, and AfCFTA supports e-commerce growth. Female entrepreneurs can explore online markets and leverage digital platforms to reach a broader audience.

Agriculture and Agribusiness: Ghana has a strong agricultural sector. Female entrepreneurs can use AfCFTA to export agricultural products, value-added agribusiness products, and processed foods to other African countries.

Manufacturing and Industrialization: AfCFTA encourages industrialization and manufacturing. Female entrepreneurs can establish manufacturing facilities or partner with existing businesses to produce goods for local and regional markets.

Quality Standards and Certification: Complying with regional and international quality standards is essential. Female entrepreneurs should focus on product quality and safety to compete effectively in the regional market.

Legal and Regulatory Compliance: Understanding the legal and regulatory requirements of the AfCFTA and individual member countries is crucial. Entrepreneurs should seek legal advice to navigate these complexities.

Advocacy and Support: Joining industry associations, chambers of commerce, and advocacy groups can provide female entrepreneurs with valuable support and information related to AfCFTA.

Export Promotion Agencies: Ghana’s export promotion agencies can provide guidance, training, and support for female entrepreneurs looking to export their products to other African countries.

Research and Market Analysis: Conduct thorough market research to identify the most promising opportunities in the AfCFTA landscape and tailor products and services accordingly.

Branding and Marketing: Building a strong brand and effective marketing strategies are vital to stand out in the competitive regional market.

Female entrepreneurs in Ghana should also consider the unique challenges they might face and advocate for policies and initiatives that promote gender equality and empower women in business. The AfCFTA can be a catalyst for economic growth, and women’s participation is essential to maximizing its benefits for the entire continent.

>>> Ramat is the Acting Head, Accra Tema Zone, National Investment Bank with over a decade experience in Business Advisory, Sales, Customer Service, Branch Operations among others.  She is also the Founder of Girls with Purpose Foundation, a not-for-profit community passionate about mentoring young girls and the youth to find their purpose, standout and succeed. Connect with Ramat via LinkedIn: Ramat Ebella Whajah , Email: [email protected]  

The post Unlocking opportunities: How female entrepreneurs can leverage on AfCFTA appeared first on The Business & Financial Times.

Read Full Story