Only about a quarter of Colombian companies created in 2017 were still operating in 2022, of which only 6% (4,600) grew. What are the drivers behind businesses that not only survive but thrive? Our new report with Confecámaras starts digging into the data, focusing on growth factors, job creation, and gender gaps.
Access to universal and meaningful broadband internet is a must for boosting economic growth and reducing the digital divide in Latin America and the Caribbean. It can also boost access to finance for the most excluded segment of the credit market: micro, small, and medium-sized enterprises (MSMEs). A recent study supported by IDB and IDB Invest analyzed the effects of broadband expansion on the credit market in Peru, finding that smaller firms with limited credit histories benefited the most.
Based on the IDB Group’s track record with supporting women’s economic empowerment, here are four overarching lessons with a focus on private sector initiatives. Some may seem obvious at first glance, but there are still many institutions, both public and private, that don’t consider women´s particular needs.
Female street vendors are the epitome of Latino micro-entrepreneurs, with a very clear business plan to someday set up their own stores or restaurants. During this crisis, the financial sector must take on an intermediary role by providing them with the financing they need to go digital.
Across emerging markets, access to finance is one of the largest barriers to success for private enterprises. Business leaders cite scarcity of credit as their main concern for growth, outweighing issues like corruption, tax and political instability.
What a coincidence that during the same week, the IMF published “Women, Work and the Economy”, the Clinton Global Initiative announced numerous initiatives to empower women and the IDB hosted Jackie VanderBrug to kick off a speaker series highlighting influential professionals who promote women in the private sector. While long overdue, the issue of gender is getting the traction it deserves.