Growth & Jobs | Women key players in economic growth and development

As the world observes International Women’s Day tomorrow, the significant role of women in growth and stability of the economy through entrepreneurship cannot be overlooked. Despite obstacles they have faced, women are showing remarkable resilience and determination in creating and growing businesses.

The Organisation for Economic Co-operation and Development and the International Labour Organization highlight that female entrepreneurs are advancing themselves economically by operating their own businesses, thus creating jobs for themselves and for others. Their job creation has helped to reduce unemployment rates and increase consumer spending. Additionally, women entrepreneurs bring unique perspectives and skills to the workforce and contribute to the growth of various industries.They also play an important role in poverty reduction and human development.

Importantly, women have been making tremendous strides in breaking down barriers and stereotypes. They have also risen to leadership positions in business as well as in politics and society.

Suzet Constable, cosmetologist and proprietor of Passion Nails and Hair, a registered business located in Old Harbour, St Catherine, has been an entrepreneur for the past 15 years.

Currently, she employs three other women and up to five during the busy holiday seasons. By the end of March, she will be expanding her business to employ two barbers.

“It’s a very good feeling being my own boss. Sometimes, it is stressful but it gives me peace of mind that I can do whatever I want. I wouldn’t trade it for anything,” she said.

Constable related that her sister, who is an entrepreneur, taught her cosmetology and influenced her to pursue self-employment. She, in turn, taught the skill to another sister and brother who, too, have become self-employed.

A mother of a teenage son, Constable pointed out that her business success is a result of her hard work, reliability, excellent customer service, customer referrals and using social media to promote her work.

“I started the business with two styling chairs. Now, I have 10. My dream is to open two more salons in Kingston and Portmore,” she said.

JN Bank Small Business Loans, a division of JN Bank and the largest private lender to the micro and small business sector, noted that more than 70 per cent of loan applications and disbursements to clients have traditionally been to women.

“Over the years, we have come to appreciate that easier access to microfinance and business management training has been a major contributor for women in Jamaica and the Caribbean region to become entrepreneurs. Their ability to access financing has helped them to expand their small businesses,” said Gillian Hyde, deputy managing director, JN Bank.

“Many Jamaican women are the breadwinners in their families, and some are single mothers who head their households. They are a mobilising force driving the development of our country and are critical to the growth of the micro and small enterprise sector, whether their businesses are operated from home or as established entities. When women start to operate a business, many of them already have the drive and aptitude to excel. Based on our findings, our loan applicants work in a wide range of industries, particularly the retail sector, which constitutes a significant trade for micro entrepreneurs,” Hyde explained.

Over the past two decades, JN Bank Small Business Loans has disbursed more than 500,000 loans valued at just over $55 billion. Of the more than 94,000 loans valued at approximately $21 billion disbursed over the last five years, approximately 70 per cent of these loans were extended to females.

According to the Planning Institute of Jamaica, some 40 per cent of Jamaican households are led by a female. As the onus is on these single parents to provide for their families, turning to entrepreneurship has helped to improve the living standard of their households.

The International Labour Organization 2021 report, Women’s Entrepreneurship Development Assessment: Jamaica, stated that Jamaican women lead the Caribbean region in self-employment, and account for 65 per cent of all self-employed women in the region. The report also highlighted that women make up a relatively large portion of the informal and formal sectors, accounting for 57 per cent and 50 per cent of businesses in each sector.