Major gaps as women get only a sliver of DBN financing

Women-owned businesses in Namibia continue to claim only a tiny slice of the development funding pie, receiving just over 14% of loans disbursed by the Development Bank of Namibia (DBN), despite years of efforts to close the gap.

This figure was shared last week at the DBN 'For Her' initiative, where finance minister Ericah Shafudah acknowledged persistent structural barriers limiting women’s access to finance.

Between 2006 and February, DBN supported 447 fully women-owned businesses and 916 partially women-owned enterprises. However, these accounted for only 14.12% of the bank’s total funding allocation, a number Shafudah said reflects a gap that cannot be ignored.

“Women-owned enterprises, despite their resilience and growing contribution to economic activity, remain underfinanced due to structural barriers, historical limitations in access to collateral, and longstanding perceptions of risk,” she said.

Data presented by DBN shows that N$1.87 billion has been approved for women-owned businesses since 2007, out of more than N$22 billion in total approvals. Much of this funding has been concentrated in the Khomas region and in sectors such as business services, pointing to uneven distribution across regions and industries.

Shafudah noted that broader labour market trends mirror this imbalance, with women participation standing at 41.7% compared to 51.1% for men, a disparity that continues to limit women’s full economic inclusion.

Just for her

The DBN 'For Her' initiative is positioned as a direct response to these challenges.

It introduces a targeted financing product aimed exclusively at 100% women-owned small and medium enterprises, as well as larger businesses, across all sectors.

The facility offers loans ranging from N$150 000 to N$10 million at prime rate, with a 12-month interest-free period and a grace period on capital repayment measures designed to ease early financial pressure and improve access.

Shafudah said the initiative marks a shift from generalised support to deliberate inclusion, enabling women not only to participate in the economy but to lead and scale their businesses.

“This is not only about enabling women to become self-sufficient, but about empowering them to become employers and create opportunities for others,” she said.

The DBN described access to finance as a pathway to job creation, asset accumulation and reduced inequality.

The initiative also forms part of the bank’s 2024–2029 strategy and is supported through its partnership with the African Development Bank.