Guidance

Growth Gateway: Women economic empowerment in Africa, fund enablement, key learnings (summary)

Published 7 January 2026

Consistent with the objectives and priorities set out in the FCDO’s new Africa Approach, this guide sets out how Africa’s investment community can deliver inclusive growth by backing women‑led and women‑centric ventures.

It aims to help investors, startup ecosystem actors (including accelerators, networks, angels, development finance institutions and corporates) and venture capital limited partners (LPs) align strategies, processes and capital so women can access funding on commercial terms.

The analysis finds that, despite a strong business and societal case, women‑led and women‑centric ventures only attract about 2% of venture capital and typically receive smaller ticket sizes, reinforcing growth constraints.  

The analysis identifies 5 critical barriers:

• male‑dominated, network‑driven processes
• development finance ticket sizes and rigidity
• a narrow set of financing instruments
• technical assistance focused on training rather than capital
• sourcing challenges

The evidence shows that patient capital, blended structures and targeted technical assistance can address these issues while maintaining commercial discipline.

For investors

The guide recommends a practical playbook across 5 dimensions:

Build a clear strategy with sector theses that include women‑heavy and underfunded areas, and set time‑bound targets with transparent reporting.

Reform processes and tools to reduce bias, using inclusive sourcing, anonymised pre‑reads, early sharing of committee questions, and accessible, deck‑free pitching formats.

Strengthen teams through gender diversity, bias‑aware training and a named referee to challenge assumptions during decisions.

Diversify instruments to fit business models and stage, including SAFE agreements, convertibles, mezzanine debt, concessional working‑capital lines and revenue‑based financing.

Consider venture studios or first‑cheque vehicles that pair small, rapid tickets with venture‑building support.

Build networks and partnerships with accelerators, women‑focused communities and co‑investment platforms, and publish gender‑disaggregated targets and portfolio stories to attract founders.

Track practical KPIs across screening, pitching and due diligence, monitoring portfolio share and capital allocation to women‑led businesses.

For startup ecosystem actors

The guide focuses on coordinated execution to lift the quality and visibility of women‑led pipelines.

Accelerators and incubators should integrate investor‑readiness support, connect graduates directly to funds, and share data to reduce search costs.

Networks and angel groups can repair visibility gaps by hosting focused pitch events, curating introductions and amplifying case studies of commercially strong women‑led firms.

Development finance institutions and corporates can back venture studios and technical assistance facilities that convert grants into scalable instruments and help ventures absorb capital effectively.

Across the ecosystem, adopt inclusive pitch practices, embed an advocate for women’s economic empowerment in investment committees, and use clear KPIs to track progress through the funnel.

Visible commitment, consistent feedback to founders and early detection of nascent ideas will prevent missed opportunities and improve conversion.

For limited partners

The guide sets an execution‑ready agenda to mobilise inclusive capital. Adopt 2X‑aligned portfolio targets and require measurable KPIs for women’s economic empowerment across the investment journey.

Streamline processes so managers, especially first‑time female managers, can move at market speed, including smaller tickets and deployment flexibility where appropriate.

Provide catalytic first‑loss at first close and re‑channel grant funding to unlock blended structures that combine equity, debt and technical assistance.

Use guarantees or insurance layers with local lenders to expand accessible working‑capital debt for asset‑heavy and cashflow businesses.

Back female fund managers, who are more likely to invest in women, and create a GP council to gather feedback and iterate instruments quickly.

Consider a catalytic fund‑of‑funds to invest in first‑time female managers and 2X‑aligned growth funds, with a simple tranche design and a dedicated technical assistance window.

Align horizons and incentives with African growth models, where patient capital and dividend‑yielding businesses can outperform exit‑only strategies over time.

Case studies from Alitheia IDF and Aruwa demonstrate performance with purpose, validating strategies that combine flexible instruments, portfolio value creation and clear outcomes around women’s economic empowerment.

Taken together, the recommendations offer a coordinated path for investors, ecosystem actors and limited partners to scale investment in female economic empowerment in Africa, closing the funding gap while delivering resilient commercial returns.