Accelerating growth for women-led SMEs in Africa

A new programme aims to help women agrifood entrepreneurs tackle common challenges and expand their businesses

Recognizing that small and medium enterprises (SMEs) play a pivotal role in ensuring food security and nutrition, particularly for the poorest and most vulnerable consumers, the Food and Agriculture Organization of the United Nations (FAO) and the International Agri-Food Network (IAFN) are launching an Accelerator Mentorship Programme, designed for women entrepreneurs operating in the agrifood sector. The pilot programme will be open to female entrepreneurs from Sub-Saharan Africa, which boasts some of the highest rates of female participation in entrepreneurial activities in the world.

SMEs play a major role in economies, providing jobs and contributing significantly to countries’ national incomes. Formal SMEs alone contribute up to 40 percent of the GDP in emerging economies, according to the World Bank. In Africa, they are the backbone of the private sector – representing 90 percent of private sector entities in the region and contributing to over 80 percent of jobs in the continent.

Small and medium enterprises that operate in the food and agriculture sectors provide a large share of food for lower income households, and play a key role in revitalizing rural economies and driving innovation. In Africa, mid-stream SMEs – those involved in processing, packaging, transport and final sales – also provide access to markets for small-scale producers. The 2022 edition of the State of Food Security and Nutrition in the World estimates that this type of value chain provides more than half the food consumed on the continent.

Despite their contributions, SMEs are more likely to encounter difficulties in accessing finance to grow and run their businesses. This is especially true for those owned by women. In Africa, roles and sectors characterized by high levels of informality – those which lack access to social safety nets – are dominated by women. Women represent nearly 90 percent of informal workers in the African Continental Free Trade Area (AfCFTA), and are heavily represented in informal micro, small and medium-sized enterprises. As a result, while female entrepreneurs act as key drivers of development and inclusive growth and prosperity, they face greater difficulties in accessing credit and financial liquidity, and are more vulnerable to market shocks and disruptions in comparison to their male counterparts.  

The Accelerator Mentorship Programme aims to capitalize on the potential of women-led SMEs in the agrifood sector, by equipping emerging women entrepreneurs from Sub-Saharan Africa with the tools and expertise to boost their businesses. Each participant in the programme will be paired with an experienced women leader from the same sector around the world. Over the course of six months, participants will receive one-on-one mentoring from a leader in their area of work, complete self-paced online coursework to deepen skills in business development, marketing and leadership, and take part in a series of expert-led workshops designed to facilitate peer-to-peer learning and networking.

The pilot programme will take place from October 2022 to March 2023.

The programme will officially launch on October 21, from 9:00-10:45 Rome time. Follow the webcast of the launch event.