Including more women-owned businesses in public procurement processes can empower them and benefit governments. According to the World Bank, 35% of all small to medium enterprises (SMEs) are women-owned, producing around 20% of GDP. United Nations Global Markets estimates that, in 2019, the UN spent close to USD 19.9 billion on goods, services and civil works purchases for its functions through governments, companies, and other non-governmental organisations. However, only less than 1 % of women-owned businesses access the procurement market and are awarded the contracts.
In Africa, 70% of economically active women are in the informal sector, with limited access to financial services, hindering opportunities to advance gender equality goals and further spur inclusive economic growth that promotes women as active central participants. Financial inclusion is a key aspect of this.
The Graça Machel Trust’s New Faces New Voices (NFNV) network expands the role and influence of women in the financial sector and advocates for women’s access to finance and financial services. Not only does the network aim to bridge the funding gap in financing women-owned businesses across Africa and advocate for policy and legislative changes. But works in collaboration with other networks and key stakeholders in the financial sector to identify barriers to women-owned business-friendly procurement inclusion such as inadequate national legislation and policies and how government tenders are naturally designed with excessive requirements for public procurement.
Recently, New Faces New Voices Rwanda hosted a two-day Public Procurement for Women Entrepreneurs training workshop with the Rwanda Public Procurement Authority. This is a continued effort dedicated to training women entrepreneurs about public procurement procedures and the use of the Rwanda E-procurement system, called ‘UMUCYO’ to increase their access to public tenders. UMUCYO is a single channel, portal and point of access for Rwanda procuring entities allowing them to negotiate better contract terms and realise savings and achieve value for money. The workshop took place in August 2021 in the Muhanga district, Southern Province of Rwanda, where 36 women entrepreneurs were trained. It covered essential topics on tender procedures and use of e-procurement, including; Legal and regulatory framework, Fundamental principles of public procurement, Preparation of tender document, review process and Rejecting and cancellation of all bids.
Uwase Solange, Owner of Ineza polyclinic, a Health Clinic in the Muhanga district- Rwanda
Uwase Solange, Owner of Ineza polyclinic, a Health Clinic in the Muhanga district, expressed appreciation for the training opportunity. “Now I have the confidence to navigate the platform, search for procurement plans of different public institutions, and advertise tender for my business”, she said.
Rachel Uwayo is the owner of Nezerwa Company, an Agro-processing business in Muhanga district, who was also a beneficiary of the training. She said, “I thank New Faces New Voices, UN Women and Rwanda Public Procurement Authority for organising training about public tender procedures and the use of e-procurement. I used to think government tenders belong to a certain category of companies, but I have learnt that company is also eligible.”
Rachel Uwayo – Owner of Nezerwa Company, an Agro-processing business in Muhanga district- Rwanda
The workshop responds to one of the recommendations stated in a Responsive Procurement study conducted by NFNV Rwanda in partnership with UN Women in 2019. The Gender-responsive procurement in Rwanda study objective study was to gather information and evidence to enable stakeholders to make informed decisions and proposals for furthering gender equality and women’s empowerment through successful tendering in public procurement. The study revealed that women participation level was low at 13% from an indicative sample of 332 public tenders awarded in 2016/2017 and 2018/19 and 5% in value of the 34.5 Billion surveyed tenders.
This article was compiled by Ida Ingabire, Coordinator.
Read more about how New Faces New Voices is working to advance women’s financial inclusion in this technical report
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