New research by McKinsey points to education being the key driver for economic growth and business opportunities in the developing world. The same research also points to a new development in the gender differences prevalent in development work. It’s a fairly well accepted fact that allocating funds to a girl in a developing community is more solid investment then funding a boy in the same group. One of the key reasons for this is that in general, women reinvest a larger portion of their income then men do. Another cultural and lifestyle factor is that women are more likely to stay within the one community, as the primary carer of a child.
New research by McKinsey outlines the financial difference an extra year of secondary education has on a girl, and a boy child. The study found that for girls that extra year caused a 10-20% rise in future earnings, whereas with boys it was 5-15%. Consequently, improving education for women in the developing world could greatly boost national prosperity and international business opportunities.
It will be exciting to seeing emerging business women from developing countries in the future. So much so that it might just be worth adding a foundation that funds educational facilities in the developing world to your companies list of causes.
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Karen Curran commented on 17-Mar-2010 02:15 PM
Karen Curran commented on 17-Mar-2010 02:15 PM
We support World Vision in various ways and this includes a division that gives education (like sewing machines and skills) and small loans to women to set up their own businesses. It's called Micro Enterprise Development - http://www.worldvision.com.au/OurWork/Solutions/CorporateGiving.aspx which has much success. For example, Micro Finance Programs accept one-off donations from $250. Or a company donating $5,000 can positively impact communities through the provision of approximately 30 loans. This creates approximately 45 jobs and a better future for approximately 158 children.
I also know of a colleague who supports a similar setup through http://www.kiva.org/ where seed loans change lives.
It is indeed through educating women that change will come for the better.
- Karen
I also know of a colleague who supports a similar setup through http://www.kiva.org/ where seed loans change lives.
It is indeed through educating women that change will come for the better.
- Karen
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