Harare , (New Ziana) -The European Investment Bank (EIB) and Stanbic Bank have launched a €20 million (ZW20 525.9 million) credit line to support small businesses owned or run by women in Zimbabwe.

In a joint statement, the two financial institutions said the facility will provide longer-term loans at favourable conditions to small and medium enterprises (SMEs), with a focus on businesses that employ or serve women.

The initiative is part of the 2X Challenge, a global effort to mobilise investment that supports women’s economic empowerment.

The funding is expected to address the financing gap faced by women entrepreneurs in Zimbabwe, where over half of SMEs are led by women.

The credit line will offer financial tools tailored to the needs of women-owned businesses, promoting economic inclusion and national development.

“This partnership demonstrates our commitment to women’s economic empowerment and financial inclusion,” said Jobst von Kirchmann, ambassador of the European Union to Zimbabwe.

“By investing in women, we are investing in Zimbabwe’s future.” Chief executive officer for Stanbic Bank Solomon Nyanhongo, added that by supporting SMEs and enterprises owned or run by women, they were fostering economic inclusion and national development.

The EIB loan is backed by the European Commission and European Union member states through the African, Caribbean and Pacific Trust Fund.

The initiative is also part of the European Union’s Global Gateway Strategy, which aims to promote economic growth and job creation in partner countries.

New Ziana