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Enterprising women in Southern Africa: When does land ownership matter?

Zuzana Brixiová Schwidrowski, Thierry Kangoye and Fiona Tregenna

No 457, GLO Discussion Paper Series from Global Labor Organization (GLO)

Abstract: Limited access to finance is one of the major barriers for women entrepreneurs in Africa. This paper presents a model of start-ups in which firms’ sales and profits depend on their productivity and access to credit. However, due to the lack of collateral assets such as land, female entrepreneurs have more constrained access to credit than do men. Testing the model on data from the World Bank Enterprise Surveys in Eswatini, Lesotho, and Zimbabwe, we find land ownership to be important for female entrepreneurial performance in terms of sales levels. This finding suggests that the small Southern African economies would benefit from removing obstacles to women’s land tenure and enabling financial institutions to lend against movable collateral. While land ownership is linked with higher sales levels, it seems less critical for sales growth and innovation where access to short term loans for working capital seems to be key.

Keywords: entrepreneurial sales; innovation; credit; land; gender; Africa (search for similar items in EconPapers)
JEL-codes: D24 G21 L26 O17 (search for similar items in EconPapers)
Date: 2020
New Economics Papers: this item is included in nep-afr, nep-cfn, nep-ent, nep-fdg and nep-sbm
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

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Journal Article: Enterprising Women in Southern Africa: When Does Land Ownership Matter? (2020) Downloads
Working Paper: Enterprising Women in Southern Africa: When Does Land Ownership Matter? (2020) Downloads
Working Paper: Enterprising women in Southern Africa: When does land ownership matter? (2020) Downloads
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