IFC’s Work on Gender in South Asia

Despite progress made on the Sustainable Development Goals and the Human Development Index due to sustained strong growth, South Asia remains home to more than 300 million poor people, and inequality continues to rise.

The pandemic and its economic fallout are having a regressive effect on gender equality. Globally, female job-loss rates resulting from COVID-19 are about 1.8 times higher than male job-loss rates. Although women make up 39% of global employment, this translates into women shouldering 54% of overall job losses.

In South Asia, the labor force participation rate for women is 23.6%, as compared to 77.1% for men. As per the World Economic Forum’s Global Gender Gap Report (GGR) 2021, it will now take almost 200 years to close gender gaps in the region. The index measures countries’ progress towards gender parity on economic participation and opportunity, educational attainment, health and survival and political empowerment.

Key gender gaps in South Asia include:

One of the lowest rates of female labor force participation (FLFP) of all regions – at 23.6%. Women are three times less likely to be employed in full-time jobs than men in all countries (except Nepal). In India, FLFP has been declining over the past decade and even more sharply post COVID-19. Recent data suggests that post pandemic, India’s female labour force participation rate (FLFP) has fallen to a record low of 15.5% in 2021. Since 1990, female labor force participation in the region has been decreasing.
Women are missing from private sector leadership too, with 11% of firms with female heads of companies (2020). Women accounted for an average of 14% of board positions in South Asia in 2016. Recent data finds that Indian stock exchanges (BSE/NSE) have a 16.8% representation of women on boards.
Low female ownership of firms – 18% versus global average of 34% (2020) and high gender wage gaps.
A large gender gap (11 percentage points) in account ownership at formal financial institutions, lowest proportion of women-owned businesses.
High rates of gender-based violence (GBV) across the region. Estimates suggest that two out of every five women in South Asia (2020) experience some form of GBV in their lifetimes.
Women are missing from private sector leadership too, with 11% of firms with female heads of companies (2020). Women accounted for an average of 14% of board positions in South Asia in 2016. Recent data finds that Indian stock exchanges have a 16.8% representation of women on boards.

Low female ownership of firms – 18% versus global average of 34% (2020) and high gender wage gaps.

A large gender gap in account ownership at formal financial institutions, the lowest proportion of women-owned businesses.

High rates of gender-based violence (GBV) across the region. Estimates suggest that two out of every five women in South Asia (2020) experience some form of GBV in their lifetimes.

Regional and national data gaps on advancing gender equality persist in the region hindering the path to progress. Data covering women’s presence in the private sector and experience as employees, entrepreneurs, business leaders, consumers and community members is either static or missing.

However, there is a strong business case for gender – e.g. $770 bn can be added to India’s GDP and $30 billion can be added to Bangladesh’s GDP by achieving gender parity.

IFC works with partners in the private sector to close gender gaps, advance gender equality as smart business, and improve women’s access to more and better jobs and assets. Our work on building the business case for gender equality in the workplace includes direct client advisory engagement and research to demonstrate how gender and economic inclusion can drive productivity, profitability, and performance for businesses.