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Women Entrepreneurs in Afghanistan; Obtaining Loans Their Key Challenge

The United Nations Development Programme (UNDP), in a report, said that women entrepreneurs have less job opportunities and that these women [the entrepreneurs] face serious challenges.

The report states that obtaining loans from banks is among the key problems for these women.

The report which have been prepared based on a survey of 3,100 women entrepreneurs during the years 2022, 2023, and 2024, shows that 41 percent of these women have taken loans for their businesses, and only 5 percent of them have received loans from banks and microfinance institutions, with the rest having to borrow from family members and friends to advance their work and trade.

Stephen Rodriques, the country director of the UN Development Programme in Afghanistan, stated: "Women have been the driving force behind family welfare in Afghanistan for a long time and play an important role in preserving the local economy. The ripple effects of investment and their courage and resilience against challenges tell a compelling story of strength and hope."

"The UNDP development program highlights that 73 percent of mobility restrictions on women who cannot even travel to local markets without the accompaniment of a male family member intensify their challenges. However, this report notes that women are finding ways to overcome these challenges and 80 percent of companies led by women rely on their business incomes as their primary source of revenue,” said Stephane Dujarric, the spokesperson for the UN Secretary-General.

The UNDP report also states that women's participation in economic activities is very important for the economic growth of families and social development, and the UN Development Programme has supported over 75,000 small businesses led by women in Afghanistan and has created employment opportunities for 900,000 individuals.

"When women have the opportunity to fully participate in economic activities, everybody wins. The 2024 report on Afghan women’s economic empowerment, by the UN Development Program makes a very important point. By investing in Afghan woke women’s economic empowerment, we are not only just unlocking their potential, we are also unlocking the potential of entire Afghan community,” said Raffaella Iodice, the EU Chargée d'Affaires to Afghanistan.

Momtaz Yusufzai, an entrepreneur speaking to TOLOnews, said: "All the factories that we currently have in Afghanistan, approximately 85 percent of their employees are women. and most of them are doing well but they lack sufficient capital. If they had the capital, they themselves would establish factories to provide job opportunities for others."

Meanwhile, the Chamber of Commerce and Investment believes that the activities of women entrepreneurs are important for the country's economic growth. The chamber emphasizes that currently, women are engaged in sectors such as carpet weaving, handicrafts, dried fruit processing, and others; however, their activities need to be supported for further development.

Khanjan Alokozay, a member of the board of directors of the Chamber of Commerce and Investment, stated: "Ground has been paved for women to a certain extent, they participate in exhibitions, engage in the initial production of carpets, embroidery, fresh and dried fruits, pickling production, tailoring, and work in hotels."

Statistics from the Chamber of Commerce and Industries also show that currently, more than 9,000 women across Afghanistan are active in doing business.

Women Entrepreneurs in Afghanistan; Obtaining Loans Their Key Challenge

Statistics from the Chamber of Commerce & Industries show that currently, more than 9,000 women across Afghanistan are active in doing business.

تصویر بندانگشتی

The United Nations Development Programme (UNDP), in a report, said that women entrepreneurs have less job opportunities and that these women [the entrepreneurs] face serious challenges.

The report states that obtaining loans from banks is among the key problems for these women.

The report which have been prepared based on a survey of 3,100 women entrepreneurs during the years 2022, 2023, and 2024, shows that 41 percent of these women have taken loans for their businesses, and only 5 percent of them have received loans from banks and microfinance institutions, with the rest having to borrow from family members and friends to advance their work and trade.

Stephen Rodriques, the country director of the UN Development Programme in Afghanistan, stated: "Women have been the driving force behind family welfare in Afghanistan for a long time and play an important role in preserving the local economy. The ripple effects of investment and their courage and resilience against challenges tell a compelling story of strength and hope."

"The UNDP development program highlights that 73 percent of mobility restrictions on women who cannot even travel to local markets without the accompaniment of a male family member intensify their challenges. However, this report notes that women are finding ways to overcome these challenges and 80 percent of companies led by women rely on their business incomes as their primary source of revenue,” said Stephane Dujarric, the spokesperson for the UN Secretary-General.

The UNDP report also states that women's participation in economic activities is very important for the economic growth of families and social development, and the UN Development Programme has supported over 75,000 small businesses led by women in Afghanistan and has created employment opportunities for 900,000 individuals.

"When women have the opportunity to fully participate in economic activities, everybody wins. The 2024 report on Afghan women’s economic empowerment, by the UN Development Program makes a very important point. By investing in Afghan woke women’s economic empowerment, we are not only just unlocking their potential, we are also unlocking the potential of entire Afghan community,” said Raffaella Iodice, the EU Chargée d'Affaires to Afghanistan.

Momtaz Yusufzai, an entrepreneur speaking to TOLOnews, said: "All the factories that we currently have in Afghanistan, approximately 85 percent of their employees are women. and most of them are doing well but they lack sufficient capital. If they had the capital, they themselves would establish factories to provide job opportunities for others."

Meanwhile, the Chamber of Commerce and Investment believes that the activities of women entrepreneurs are important for the country's economic growth. The chamber emphasizes that currently, women are engaged in sectors such as carpet weaving, handicrafts, dried fruit processing, and others; however, their activities need to be supported for further development.

Khanjan Alokozay, a member of the board of directors of the Chamber of Commerce and Investment, stated: "Ground has been paved for women to a certain extent, they participate in exhibitions, engage in the initial production of carpets, embroidery, fresh and dried fruits, pickling production, tailoring, and work in hotels."

Statistics from the Chamber of Commerce and Industries also show that currently, more than 9,000 women across Afghanistan are active in doing business.

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