Empowering Women Entrepreneurs in Global Trade: SBM Bank and CBI’s Groundbreaking Partnership

There is a growing need to empower women entrepreneurs who have often faced obstacles in accessing these international markets. Recognizing this gap, SBM Bank Kenya and the Centre for the Promotion of Imports (CBI), a program funded by the Dutch Ministry of Foreign Affairs, have announced a transformative partnership aimed at enhancing the participation of Kenyan women in global trade. This initiative is poised to address some of the key challenges that women in export value chains face and, in doing so, bolster the Kenyan economy while promoting gender equality.

The Vision of the SBM-CBI Partnership

The primary goal of this initiative is to empower Kenyan women entrepreneurs by providing them with the necessary tools, resources, and financial support to thrive in the global marketplace. The partnership targets 15 women-led or women-owned small and medium-sized enterprises (SMEs) during the initial six-month pilot phase. These businesses, operating in export value chains, will receive critical support to boost their competitiveness in international trade, with plans to scale up this initiative over the next few years.

In outlining the strategy behind this initiative, SBM Bank CEO Bhartesh Shah highlighted its significance, stating, “At SBM Bank, we believe that empowering women is critical for sustainable economic development. Through this partnership with CBI, we are opening new doors for women entrepreneurs to participate in global trade. We are excited about the positive impact this initiative will create in the coming years.”

The partnership is anchored on the mutual goals of SBM Bank and CBI: to help medium-sized women-owned or led SMEs access affordable financing and build their capacity to compete in the global arena. This alignment is also in line with the United Nations Sustainable Development Goals (SDGs), particularly Goal 5 on Gender Equality and Goal 8 on Decent Work and Economic Growth.

SBM Bank’s commitment to gender equality is already well established, as the institution is a signatory to the UN Women’s Empowerment Principles. The bank has demonstrated a consistent dedication to fostering an inclusive financial system that prioritizes gender equality in business. This initiative with CBI marks a significant step in realizing that commitment on an even larger scale by empowering women entrepreneurs to access international markets.

Addressing the Challenges for Women in Global Trade

Despite their enormous potential, women entrepreneurs in Kenya face unique challenges in expanding their businesses, particularly when it comes to global trade. Issues such as limited access to finance, inadequate market information, and insufficient support systems have historically stunted the growth of women-led businesses in international markets.

CBI Programme Coordinator, Janneke Vereijken, echoed these sentiments, stating, “Women entrepreneurs often face significant challenges in accessing international markets, and we are delighted to partner with SBM Bank to address these challenges.”

One of the core components of the SBM Bank-CBI partnership is to break down these barriers by providing women with access to affordable financing. For many businesses, particularly SMEs, access to capital is one of the largest hurdles to scaling up operations. The collaboration with SBM Bank will enable these businesses to secure the financing they need for exports and other global trade opportunities, thereby leveling the playing field.

Additionally, the partnership will provide extensive training and coaching to participating women entrepreneurs, focusing on areas such as financial management, export readiness, and compliance with international market requirements. This holistic approach is designed not only to equip these businesses with the necessary funding but also to ensure that they have the skills and knowledge to succeed in the complex and competitive world of global trade.

Fostering Financial Inclusion and Export Readiness

As part of this initiative, SBM Bank will engage directly with women entrepreneurs to understand their needs and tailor financial solutions to meet those needs. This dialogue between the bank and women entrepreneurs is critical for closing the existing gap in understanding the financial requirements for accessing export markets.

Historically, women-owned businesses have often found it difficult to access finance due to perceptions of higher risk and limited collateral. Through this initiative, SBM Bank aims to provide tailored financial products that address these unique challenges. By doing so, the bank not only empowers women entrepreneurs but also fosters greater financial inclusion, enabling more women to participate in and benefit from the global economy.

Moreover, the program leverages CBI’s market intelligence and global connections to open up international opportunities for Kenyan businesses. By linking women entrepreneurs to potential markets and buyers in Europe and other regions, the program helps these businesses gain a foothold in international markets and achieve sustainable growth.

Long-term Impact and Scaling the Initiative

The initial phase of the SBM Bank-CBI partnership will focus on a pilot group of 15 women-led businesses. However, the broader ambition is to scale up the program significantly over the coming years. With a five-year investment of 2 million Euros from CBI’s Women’s Economic Empowerment project, the initiative is well-positioned to have a lasting impact.

Over time, the partnership aims to reach hundreds of women-led businesses across Kenya, helping them to overcome the structural barriers they face in accessing international markets. By building capacity, enhancing financial literacy, and providing access to affordable financing, the partnership will help these businesses grow, create jobs, and contribute to Kenya’s economic development.

Furthermore, the partnership’s alignment with global initiatives, such as the UN SDGs, ensures that its impact will be felt far beyond the immediate beneficiaries. As more women entrepreneurs enter global markets, they not only contribute to the local economy but also promote gender equality on a broader scale, helping to reshape global trade dynamics.

A Model for Gender Equality in Business

This partnership between SBM Bank and CBI represents a forward-thinking approach to tackling the challenges faced by women entrepreneurs in global trade. By combining financial support, capacity-building, and market access, the initiative provides a comprehensive solution that addresses the key obstacles faced by women-led businesses.

In the long run, this partnership has the potential to serve as a model for similar initiatives across Africa and beyond. As more financial institutions recognize the value of empowering women entrepreneurs, programs like this one can pave the way for greater gender equality in global trade.

Moreover, the partnership’s emphasis on financial inclusion and capacity-building ensures that its benefits will be sustainable. By equipping women entrepreneurs with the skills, knowledge, and resources they need to succeed, the initiative is laying the groundwork for long-term growth and prosperity.

Conclusion

The SBM Bank and CBI partnership is a game-changer for women entrepreneurs in Kenya. By addressing the critical barriers to global trade and providing the necessary financial and capacity-building support, this initiative is empowering women to unlock their full potential in the international marketplace.

As the program scales up over the coming years, it is expected to have a transformative impact on Kenya’s economy, promoting gender equality and creating new opportunities for women-led businesses. Through initiatives like this, Kenya is poised to become a leader in promoting women’s economic empowerment in global trade, setting an example for other nations to follow.