As the Government of Ghana plans to establish a Women’s Development Bank to support female entrepreneurs, many small startups fear they may be left out of the initiative due to restrictive policies, funding criteria, and bureaucratic challenges.
The bank, which aims to improve access to finance for women-led businesses, has been widely welcomed as a step toward economic empowerment.
However, concerns are growing among startup companies who worry that the eligibility requirements may favor larger, and more established enterprises over startup businesses.
Miss Emilia Safo, CEO of beauty splash company, speaking to The High Street Journal (THS), at a national stakholders engagement for women in business said: “For many of us running small startups, access to funding has always been a challenge, if this new bank has strict lending conditions like high collateral demands or complex application processes, then we might still be excluded.”
Ghanaian startups, particularly those led by women, continue to struggle with securing capital from traditional banks, which often cite high risks and lack of financial history as barriers.
This has led to the fear that without flexible policies and tailored financial products, the new development bank would not fully address the needs of grassroots entrepreneurs.
Furthermore, some business owners are worried about how well the bank will cater to startups operating in informal sectors, digital businesses, and emerging industries.
Mrs Akua Boateng, a manager at Green Bijou, a biotechnology, said: “If the bank’s structure does not accommodate modern startup models, like tech-driven businesses or sole proprietorships with unconventional revenue streams, then its impact will be limited.”
She argued that most fintech companies rely on such investments and government’s partnerships with international firms, hence the women’s development bank must stand as a pillar to ensure these measures are implemented.
Experts argue that for the Women’s Development Bank to truly make a difference, it must prioritize accessibility, offering low-interest loans, grants, and capacity-building programs specifically designed for startups.
Nana Aba Mensah, a business consultant, suggested that government and stakeholders must engage directly with their female entrepreneurs during the bank’s development process to ensure their needs are adequately represented.
“Without deliberate policies to support women entrepreneurs, many startup businesses may collapse,” she added.
