Experts say fiscal policy must address women ‘s concerns.
By Moraa Obiria
Development experts at United Nations Economic Commission for Africa (ECA) have called on African governments to establish stimulus packages for women in the informal sector to facilitate revival of their businesses post Covid-19.
During a May 1, Webinar on how Covid-19 affects gender, trade, agriculture, climate change and services sector in Africa, the experts argued that women constitute 90 per cent of the informal sector’s labour, thus crucial pillars in revitalising the continent’s economy.
“We are encouraging member States to put in place stimulus packages like start-up funds for women to start opening up their businesses,” said MsThokozile Ruzvidzo, ECA’s Director of Gender, Poverty and Social Policy.
She said governments should ensure they incorporate women and girls’ issues in every fiscal measure meant to revive the economy.
“The fiscal policy must address women and girls’ concerns. And that would mean addressing all factors that make women poorer,” she noted.
Africa’s economy was expected to grow by 3.1 per cent in 2020, a rate ECA now projects to drop to negative 2.7 per cent in a worst case scenario.
Mr Bartholomew Armah, Director of Macroeconomic Policy and Governance at ECA said due to the deadly virus, five million to 29 million people will be impoverished while 19 million others will be left jobless.
And women will disproportionately suffer since they are a majority in sectors largely affected namely tourism and air transport.
“Tourism and air transport face almost complete collapse as 95 per cent of the 1.4 billion tourists visitors to Africa were from outside the continent in 2018, with 51 per cent from Europe,” he said.
ECA is advocating for $100 billion financial aid to African countries to help them recover from economic shocks induced by Covid-19.
Mr Stephen Karingi, ECA’s Director of Regional Integration and Trade said a percentage of the funds would be channelled to economic recovery measures.
“Governments … will need to ensure that women-owned businesses are not left behind,” he said.
Mr Armah, however, said governments should first gather data on status of informal sector to develop suitable packages that would benefit women.
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