Empowering women’s potentials adds 26 pct of global GDP

Jakarta (Indonesia Window) – Empowering women’s potentials is expected to have a more significant impact on the economy by adding 28 trillion U.S. dollars or 26 percent of global Gross Domestic Product (GDP), Indonesian Finance Minister Sri Mulyani Indrawati said here on Thursday (March 17) on the sidelines of the 66th Session of the Commission on the Status of Women (CSW66).

Sri Mulyani highlighted that the amount would be sufficient to compensate for global economic losses over the past two years due to the COVID-19 pandemic.

An additional 28 trillion dollars to the global economy is feasible as they are able to create more jobs through small and medium-scaled business which are usually owned and run by women.

However, Sri Mulyani added, until now women have been excluded from financial services due to different factors, among others that in some countries women do not have identity cards.

Those who do not have identity cards cannot formally access financial institutions.

In addition, in some countries, women cannot own assets in their personal names, so they do not have assets to be used as collateral to access certain credit financial services.

The World Bank’s Global Findex Database statistics in 2017 showed that women’s access, especially in terms of ownership, is 7 percent below that of men.

Women’s ownership is only 65 percent or lower compared to 72 percent for men.

Indonesia will further promote gender equality, one of which is through the G20 Presidency under the theme ‘Recover Together Recover Stronger’.

Sri Mulyani emphasized that efforts to realize this theme would not be accomplished if the world does not prioritize gender equality.

“You can’t recover together unless half of the population (women) get access to finance,” she said.

Reporting by Indonesia Window