Economy/Economic Policy

It Takes Women to End Global Poverty

Friday, March 9, 2012

Women produce half of the world's food, earn 10 percent of the world's income and own less than 1 percent of the world's property. The U.S. Government's Millennium Challenge Corporation says its anti-poverty efforts aim to change these statistics.

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Social Perceptions

The social perceptions that dictate how women should spend their time and energy must also change. The ability of a country to overcome poverty is stunted, for example, when girls and women are expected to fetch water rather than spend their days in school or in income-producing activities.

Investing in girls--and the women they become--directly impacts a country's economy.

Every extra year a girl spends in school increases her income by 15 percent to 25 percent, according to

In Kenya, some 1.6 million girls drop out of high school annually, costing the economy $500 million. If they finished school, these girls would make 30 percent more money and contribute $3.2 billion more to Kenya's economy each year.

When Ellen Johnson Sirleaf of Liberia became the first woman president of an African country, she used her inauguration speech in 2006 to publicly define the role of women in economic growth: "We shall encourage families to educate all children, particularly the girl child. We will also try to provide economic programs that enable Liberian women - particularly our market women - to assume their proper place in our economic process."

Change, of course, does not happen overnight. The Millennium Challenge Corporation (MCC), an innovative and independent U.S. Government foreign assistance agency, is on board, however, to do what it can. Created by the U.S. Congress in 2004 with strong bipartisan support, MCC provides poor, but well-performing, countries with grants to fund country-led solutions for reducing poverty through sustainable economic growth.

These solutions are working to redefine the role of American development assistance in promoting gender equality worldwide.

The corporation integrates gender equality into all stages of its assistance programs which total nearly $9 billion in large-scale grants worldwide from selecting partner countries, to developing and implementing proposals for funding, to monitoring and evaluating results.

And as a groundbreaking leader in development, MCC looks at how a country performs on a "Gender in the Economy" policy indicator that assesses a government's commitment to promoting gender equality to determine if it would make a suitable partner for an investment of development dollars. Linking development dollars to how committed a government is to gender equality motivates change.

This way of allocating development dollars can help build a country's capacity to redress gender inequalities that would otherwise stymie sustainable economic growth and poverty reduction.

Investing in policies that enable women to be more economically productive benefits them, their families, their societies and their nations. The time has come to match rhetoric with results and implement gender-inclusive strategies that maximize the full strength of women and girls in achieving global prosperity.


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Cassandra Butts is the senior advisor at the Millennium Challenge Corporation (

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