The term “Womenomics,” coined by Kathy Matsui, highlights the idea that empowering women economically is not just a moral imperative but a smart strategy for overall economic development. This policy aimed to promote gender equality in the workforce and contribute to Japan’s economic growth by boosting female participation. While Matsui introduced the concept in Japan, its global implications are significant. By 2025, it’s projected that increasing women’s participation in the workforce could add as much as $12 trillion to the global GDP, highlighting the untapped potential of female empowerment in driving economic progress.
The concept of entrepreneurship has long been recognised as a driver of economic growth. French economist Jean-Baptiste Say in the early 19th century described entrepreneurs as individuals who organize and manage businesses, bridging labor and capital. Today, entrepreneurship—particularly among women—plays an increasingly crucial role in building inclusive, sustainable economies worldwide. This trend is particularly evident in countries like Bangladesh, where women’s entrepreneurship is gradually reshaping the economic landscape.
In Bangladesh, women’s entrepreneurship has been legally defined through policies like the Industrial Policy 2016, which recognises a woman as an entrepreneur if she owns a business as a sole proprietor or holds at least 51 percent of the ownership in a partnership business. This policy framework has been instrumental in encouraging more women to enter the entrepreneurial space. Women are no longer viewed solely as contributors to household incomes but as significant players in the economic development of the nation. Despite owning only 7.2 percent of enterprises, women entrepreneurs in Bangladesh are making considerable strides, particularly in small and medium enterprises (SMEs).
SMEs are vital to Bangladesh’s economy, contributing to around 25 percent of the country’s total GDP. According to data from the Bangladesh Bureau of Statistics (BBS), women-owned SMEs account for approximately 24.6 percent of all SMEs, showing the increasing influence women have in the business sector. This growth is largely a result of policies that encourage women’s participation in the economy, coupled with an increase in digital platforms that have enabled female entrepreneurs to reach wider audiences with fewer barriers. E-commerce platforms, such as Daraz and Amazon, and social media platforms, including Facebook and Instagram, have become invaluable tools for women entrepreneurs to expand their businesses without the need for costly physical spaces.
In recent years, Bangladesh has seen an increase in the number of women engaged in diverse sectors, from agriculture to technology and everything in between. Women in rural areas are becoming self-employed in agricultural activities, food processing, and livestock farming, while their urban counterparts are venturing into beauty, fashion, and e-commerce businesses. These diverse industries illustrate the depth and breadth of women’s contributions to the economy. Furthermore, women entrepreneurs in Bangladesh have embraced technology, using digital platforms to market their products and manage their businesses, which has allowed many to overcome traditional barriers like the need for physical storefronts and limited access to broader markets.
However, despite the growth in women’s entrepreneurship, challenges remain. One significant hurdle is access to finance. Women entrepreneurs often struggle to access formal financial services, which limits their ability to scale their businesses. Although there have been some government initiatives aimed at addressing these issues, such as the introduction of the Credit Guarantee Scheme and financial literacy programs, many women still find it difficult to secure the capital needed to grow their enterprises. The government’s commitment to setting aside a portion of funds specifically for women entrepreneurs in the Tk 300 crore incentive package is a step in the right direction, but more needs to be done to level the playing field.
Another challenge facing women entrepreneurs in Bangladesh is the digital gender divide. The Global System for Mobile Communications Association (GSMA) reports that in 2024, mobile internet adoption rates stand at 40 percent for men but only 24 percent for women in Bangladesh. This digital gap has serious implications for women’s access to mobile financial services (MFS) and digital financial services (DFS), both of which are critical for modern business operations. Closing this gap is essential to ensure that all women entrepreneurs, particularly those in rural areas, can participate fully in the digital economy.
Microfinance has been another significant tool in empowering women entrepreneurs in Bangladesh. Organizations like the Grameen Bank and BRAC have played a pivotal role in providing micro-loans to women, particularly in rural areas where access to traditional banking services is limited. These microfinance institutions have helped thousands of women start and grow their businesses, contributing not only to their individual economic empowerment but also to the economic development of their communities.
However, to fully realise the potential of women entrepreneurs in Bangladesh, more programs are needed. Improving access to education, technology, and financial services is crucial for fostering a new generation of female entrepreneurs. Programs that provide training in digital literacy, particularly in rural areas, are essential to ensure that women have the skills and knowledge they need to grow their businesses in an increasingly digital world. Additionally, more efforts must be made to combat the social stigma and cultural barriers that discourage women from pursuing entrepreneurship.
The future of Bangladesh’s economy is closely tied to the success of its women entrepreneurs. Their contributions to various sectors—from agriculture to technology—are vital for the country’s progress toward gender equality and economic resilience. Womenomics, the idea that empowering women economically benefits the entire economy, has already had a significant impact in Japan and holds great potential for Bangladesh as well. By embracing and empowering women as entrepreneurs, Bangladesh can accelerate its journey toward sustainable, inclusive growth. While challenges remain, the future for women entrepreneurs in Bangladesh looks promising. The time has come to support and empower Bangladesh’s women as they drive the country toward a more inclusive and sustainable future.
