Women entrepreneurs in Kenya are catalysts for change

Women-led and women-owned businesses can help push systemic change. CBI's support in Kenya is an example of how this can lead to business growth and market access to the Netherlands and the European Union (EU). Working with women and their environment in Kenya clearly illustrates CBI's strategic shift toward a systems approach. The focus now is on addressing the root causes of systemic problems. This means CBI aims not just to support women-owned and -led small and medium-sized enterprises (SMEs) in Kenya to increase exports and jobs, but to empower these women as entrepreneurs. In this insight, CBI programme manager Renee van Woerden shares her observations. 

Renee: "We see that when women entrepreneurs unlock their potential, opportunities multiply. They become a powerful force for an inclusive, sustainable economy in their country. Our work in Kenya has 2 sides. We work with women to build their self-esteem, self-confidence and decision-making skills. On the other hand, we explore how the Kenyan business ecosystem can create the conditions for women entrepreneurs to thrive. The results are quite promising. Everything is in place to give more women in Kenya access to trade opportunities and markets, tap into financing, and participate in the economy in a helpful and meaningful way." 

Empowerment: Beyond gender awareness  

One important finding so far is that gender awareness alone is not enough to empower women economically. "Women in Kenya have come a long way since the 1990s," Renee notes. "Education has become more inclusive. And there are more trade support institutions and other partners offering valuable services to women's groups. But in our work with Kenyan women and partners, we have discovered a serious gap. Services do not always reach their intended target group." An example of this gap is that courses for women entrepreneurs that were organised by 2 women's trade associations resulted in low attendance, due to little attention to practical factors such as time and location. This demonstrates that gender awareness does not automatically translate into services tailored to the needs of women entrepreneurs. 

Renee also cites Kenyan consultant Frida Owinga, with whom she works closely. Frida emphasises that true empowerment goes beyond awareness. Empowerment requires a redesign of systems so that women have access to:

• Markets;  
• Financing; and  
• Influence at every level.  

The collaborative, locally owned approach in Kenya shows that when gender responsiveness is embedded in institutions and mindsets, inclusive growth becomes inevitable.

"Economic equality for women is good for business."  
"When more women work, economies grow."  
"Closing gender gaps at work is a key to achieving the Sustainable Development Goals."

These are just a few of the many benefits of women's economic empowerment highlighted by UN Women, the United Nations’ lead entity in gender equality.  

A locally owned, collaborative approach  

To truly understand the challenges, CBI worked closely with a range of partners. These included:

• Women entrepreneurs.
• Exporters and traders.
• Governmental and non-governmental organisations (NGOs).
• Sector associations.
• Financial institutions.  

CBI identified the main challenges with a steering committee of 7 national stakeholders from different sectors. Together, they organised a 3-day event on women's economic empowerment in Kenya, which was attended by around 70 people. "This local, collaborative approach was very effective," says Renee. "It highlighted key challenges that women entrepreneurs face, as well as the most urgent issues we must tackle together. It also reinforced the value and importance of partnership in pursuing systemic change." 

Pathways to change

Following advice from all stakeholders, the project focused on 3 pathways to change.

1. Access to markets

Many women entrepreneurs in Kenya may experience challenges in accessing markets. They sell their products only locally and at minimal, sometimes unfair, prices. This limits their opportunity to scale their businesses and contribute to a sustainable economy. Access to markets outside their immediate environment is important. These can be regional or international export markets. "Women entrepreneurs who reach other markets can earn a more decent income for their households. It strengthens their self-confidence and makes it easier for them to invest." 

In Kenya, CBI initiated the introduction of several access-to-market solutions. One of these was to help 11 trade support institutions (TSIs) make their export services more inclusive and better suited for women entrepreneurs. A total of 55 employees from these institutions attended a training course in gender-responsive export services. "Our aim was to ensure that these TSIs put the theory of supporting women entrepreneurs into daily practice," comments Renee. CBI and its partners reviewed the TSIs' progress at the start and end of the year to track changes over time. To encourage healthy competition, they launched an award programme, offering a prize for the best-performing TSI advancing gender-responsive services. "We have laid the foundation for TSIs in Kenya to embed gender responsiveness in their activities," concludes Renee. 

2. Access to finance

For many women entrepreneurs in Kenya, funding business growth is a huge challenge. "Most of them have a bank account, but cannot get a loan," Renee says. "This is because they lack information about financial products, or because they do not have collateral, such as land. Lenders often reject women entrepreneurs, assuming they only run a micro-business, especially in agriculture. This discourages many women from applying. As a result, their businesses and incomes cannot grow. And banks miss out on a profitable client base." 

To break this vicious circle, CBI and its partners have embraced a new approach. "We now target both supply and demand," explains Renee. "On the supply side, financial experts worked with banks to develop a clear business case for serving women-owned SMEs. They presented data on loan sizes, repayment rates, and growth potential. On the demand side, business development experts gathered groups of women entrepreneurs with export ambitions. Many of them were already bank customers. The experts built trust, explained opportunities, and guided them in meeting the loan requirements." 

This two-sided approach is meant for women to develop stronger business plans and prepare for loans, while banks learnt to tailor their services and products to women's needs. With 3 banks we are testing this process.  "This work has shown us that access to finance is not just about credit," says Renee. "It is about changing mindsets, building trust, and unlocking shared value."   

3. Speaking up with One Voice

Historically, Kenya has had numerous women's associations. They were mainly active within their own networks. This led to a third focal point in our work with women: the establishment of One Voice. One Voice is an organisation that brings together women entrepreneurs in Kenya to work and grow together. "The power of One Voice quickly became clear," observes Renee. "It is a place where women can think together and speak out. Together, they can influence government regulations and strengthen their role in trade and export. One Voice still has a lot of work to do to become strong, clear, and financially independent. But already, this organisation is empowering and liberating women entrepreneurs in Kenya."

An example: Real impact in the macadamia sector

The results in the macadamia farming sector are particularly exciting. Here, CBI collaborated with Onja Uone, a women-led macadamia processor, and 30 women macadamia farmers. Onja Uone guided the farmers in:

• Best farming practices;
• Entrepreneurship; and  
• Household decision-making.  

"The women's self-confidence grew, their households benefited, and their businesses and exports have grown," says Renee. "And by involving men in the conversations, their progress has been even greater." The pilot project has shown that this approach benefits both parties. Farmers saw their income increase by 81% and Onja Uone received higher-quality macadamia nuts in larger quantities. Due to its success, CBI has scaled this approach up to 180 farmers and 5 more macadamia processors. Renee concludes: "Our shared experiences in Kenya show us how with a systemic approach we can turn gender awareness into real, sustainable impact."