Women’s Livelihoods: the business case for scaling microfinance, Africa

• Aug 4, 2025
• 1 min

Women entrepreneurs managing nano, micro, and small enterprises in sub-Saharan Africa face persistent challenges in accessing affordable and productive credit. These challenges were further worsened by the COVID-19 pandemic. In contrast, Asia and Latin America have seen greater success in scaling microfinance solutions, due to more enabling environments and better aggregation opportunities. To address this disparity, MSC conducted a comparative landscape assessment across Africa, Asia, and Latin America.

MSC developed a learn-test-scale strategy to improve access to productive credit for women entrepreneurs in Kenya and Uganda. We assessed 130+ financial institutions, evaluated their intent, capabilities, and partnerships, and shortlisted five institutions—Stanbic Kenya, Stanbic Uganda, KCB, BRAC Uganda, and FINCA—to co-develop and implement proof-of-concept pilots tailored to women entrepreneurs’ needs.

MSC supported these institutions with product development plans, alternate credit scoring models, pricing strategies, and iterative prototype testing. We are also helping structure a second-tier financing facility to channel low-cost, long-term capital into the sector. Our ongoing technical assistance covers KPI definition, product refinement, and pilot implementation across all approved institutions. Through this work, MSC is helping unlock affordable, scalable credit for thousands of underserved women entrepreneurs in East Africa. The project builds an evidence-based roadmap for inclusive financial ecosystems and supports institutions in delivering impactful, gender-intentional credit solutions.

The Gates Foundation commissioned the project.