EBRDEBRDGender Action PlanGender Action Plan

Chikako Kuno, Director, Group for Small Business, Chair of Gender Steering GroupChikako Kuno, Director, Group for Small Business, Chair of Gender Steering Group

Alan Rousso, Director Strategy & Analysis, Office of the Chief EconomistAlan Rousso, Director Strategy & Analysis, Office of the Chief Economist

George Krivicky, Director, Early Transition Countries InitiativeGeorge Krivicky, Director, Early Transition Countries Initiative

EBRD Gender Steering GroupEBRD Gender Steering Group

GenderGender

Gender and Transition

EBRD – Gender Promotion Today

The Action Plan

ObjectiveObjective

Increase the economic participation and decision-making roles of women in the private sector.

Gender and EBRDGender and EBRD

Gender equality is an important component of the development and transition process

Part of the Millennium Development Goals

EBRD is committed to expanding opportunities for women and promoting gender equality

Impact of transition on women has varied by country and by issue-area

Change in labour force participation rates, 1989-

2005

-30-25-20-15-10

-505

10

Men

Wo

men

Men

Wo

men

Men

Wo

men

Impact of transition:Impact of transition:labour market “separation”labour market “separation” Women’s labour

participation declined at the start of the transition, but has since recovered

Women now have lower unemployment rates than men, except in CIS+M

Women are more in favour of state involvement, particularly in the social arena

Women tend to be less satisfied with their lives CEB SEE CIS+M

Source: World Development Indicators 2006

Impact of transition:Impact of transition:Labour market “separation”Labour market “separation”

-30

-25

-20

-15

-10

-5

0

5

10

Cze

ch R

ep.

Est

on

ia

Hu

ng

ary

Lat

via

Lit

hu

ania

Po

lan

d

Slo

vak

Rep

.

Slo

ven

ia

Alb

ania

Bo

snia

an

dH

erz.

Bu

lgar

ia

Cro

atia

FY

RM

aced

on

iaR

om

ania

Ser

bia

an

dM

on

t.

Arm

enia

Aze

rbai

jan

Bel

aru

s

Geo

rgia

Kaz

akh

stan

Kyr

gyz

Rep

.

Mo

ldo

va

Mo

ng

oli

a

Ru

ssia

Taj

ikis

tan

Tu

rkm

enis

tan

Ukr

ain

e

Uzb

ekis

tan

Men Women

Change in percentage points

Source: World Development Indicators 2006

Impact of transition:Impact of transition:Wage equality has diminishedWage equality has diminished

More wage inequality in more advanced transition countries

Wage differentials between men and women have increased

Differences cannot be easily explained by job type or productivity

Gender discrimination is evident from quantitative and qualitative studies

Sweden

UKFrance

USA

Italy

Slovenia

Kyrgyz Rep

Moldova

Mongolia

Hungary

Uzbekistan

FYRM

Romania

Slovak R.

Albania

Kazakhstan

BulgariaCzech Republic LatviaPoland

Croatia

RussiaEstonia

Georgia

Ukraine

Lithuania

0.45

0.55

0.65

0.75

0.85

0.95

0.45 0.55 0.65 0.75 0.85 0.95

Wage Equality

Labour Force Participation

Impact of transition:Impact of transition:Quality of employment has changedQuality of employment has changed

Women have moved into unpaid caring professions

More women are in white collar than blue collar professions

Many women have become self-employed, partly out of necessity

There are still fewer female than male entrepreneurs

Impact of transition:Impact of transition:Access to financeAccess to finance

More female managers have difficulty securing a bank loan

Female managed firms charged higher interest rates in some countries

Financial development may lead to lower levels of gender bias in bank lending

More needs to be done to understand constraints and opportunities for female entrepreneurship

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Alba

nia

Arm

enia

Azer

baija

n

Belar

us BiH

Bulg

aria

Croa

tia

Czec

h Rep

ublic

Esto

nia

FYRM

Geor

gia

Hung

ary

Kaza

khsta

n

Kyrg

iz

Latv

ia

Lith

uani

a

Mol

dova

Polan

d

Rom

ania

Russ

ia

Serb

ia an

d Mon

teneg

ro Slov

ak

Slov

enia

Tajik

istan

Ukra

ine

Uzbe

kista

n

female male

Share of businesses without a bank loan

Source: BEEPS, 2005

The Bank todayThe Bank today Revised Environmental and Social Policy

– incorporates gender; public comments by 9 April; public consultation workshops in the region; now approved

Demonstration

Banking operations (illustrations)– Micro and small enterprises (MSE)

– Equity investments (Supervisory Boards)

– Infrastructure (Municipal and Environmental Infrastructure)

– Training

TurnAround Management and Business Advisory Services (TAM/BAS)

Work of the Office of the Chief Economist (OCE)

Ukraine, Moldova and Caucasus (2007)Ukraine, Moldova and Caucasus (2007)

41%

59%

Figures are gathered from portfolio reports provided by 11 FIs across the region

Number of Loans Disbursed Volume of Loans Disbursed

68%

32%Women Borrowers

Women Borrowers

Mi-BospoMi-Bospo

Set-up by the Danish Refugee Council in 1995 following the Bosnia War

Initially focussed on serving women of all ethnic backgrounds, of which 70% were internally displaced persons.

In 2000 was transformed into a non-profit organization and provides financial services to low-income women entrepreneurs

Today a strong mid-size regional non-bank microfinance institution with a market share of 7% (gross loan portfolio).

Outstanding loan portfolio 32,121 loans for over EUR 33m

Most of its clients are women with men gradually becoming indirect clients through their association with a female in the household.

Mi-Bospo’s vision is to become the financial services provider of choice for women entrepreneurs in Bosnia and Herzegovina.TA being provided to help Mi-Bospo transform into a commercial microfinance company by end 2008.

IMONIMON

Was registered in 2005 and previously operated as a Mercy Corps’ microlending programme implemented by the National Association of Business Women (NABW).

Today, is the largest and strongest performing non bank microfinance institution in Tajikistan.

Since the programme commenced in 1999 it has provided over 160,000 loans for over EUR 48 million. 46% of IMON’s clients are women and 69% of its clients live in rural or remote areas underserved by other financial institutions.

Transformation into a commercial entity is planned for 2008.

TA has been provided to help IMON in its transformation process.

Boards (Investee Companies, Boards (Investee Companies, Financial Institutions)Financial Institutions)

Bank’s nominee directors are women in 112 (41%) out of 275 approved Supervisory Board seats.

High women representation

EBRD has a strong demonstration effect

Examples of Selected Infrastructure Examples of Selected Infrastructure Interventions/IssuesInterventions/Issues

Water projects: where women are clearly affected. Participation in surveys of needs (e.g. family health aspects, ensuring water pressure sufficient), monitoring of implementation (water user committees).

Identifying areas where attention to gender-specific aspects can significantly improve benefits through better project design and implementation.

Affordability considerations.

Trade Facilitation Programme (TFP) Trade Facilitation Programme (TFP) TrainingTraining

Trade Finance training Kazakhstan UCP 600 Turkmeninstan

Trade Finance training Mongolia

Trade Finance training Russia

An EBRD business case for expanding An EBRD business case for expanding economic opportunities for womeneconomic opportunities for women

EBRD has made the business case in practice

More gender equality is associated with faster and more sustainable economic growth

Empowerment of women can lead to better governance

Gender equality taps the full labour pool, can lead to market expansion and better management practices

Action PlanAction Plan

Mainstream

Pilot Country schemes in selected countries (tailored)

Coordinate with and leverage other IFIs

Increase awareness in Bank and build insitutional capacity to address issues

ConsiderationsConsiderations

Stage of transition

Cultural

Political factors

Women’s own priorities and needs in countries of operation

Relevance of Bank’s operational instruments for the task

New OpportunitiesNew Opportunities

Action Description Deliverables Timeframe/ResourceImplications

Review of Existing Bank Activities with Gender Component.

Assessment of the Bank’s current and potential activities to clarify existing best practice and identify gaps where the Bank’s transition mandate can be enhanced.

• Consultations with sector/country teams. • Clarification of existing areas of EBRD

intervention.• Identification of potential new areas where

Bank could intervene.• Development of diagnostic tools and statistics.• Continuous monitoring of the impact and

continued relevance of existing activities linked to promotion of gender equality in Bank operations.

Ongoing through 4th

Q 2008 /1stQ 2009

Pilot Country Programmes.

Pilot programme to be developed and implemented in a few earlier transition countries and a more advanced transition country to test potential for successful implementation and help identify selected gaps in the Bank’s activities.

• Review of Bank activities across sectors in the pilot country for gender issues

• Review of level and number of economically active women in private sector

• Determination of any obstacles• Identification and development of advisory and

financial products to support women• Identification of existing networks or gaps to

support women• Product and activity launch.

To start 3rdQ 2008

New Opportunities (con’t)New Opportunities (con’t)

Action Description Deliverables Timeframe/ResourceImplications

In-house and external research studies.

Studies to improve understanding of specifics of both a country-based and/or a sector based approach to maximising the gender equality transition impact.

• Qualitative and quantitative research conducted by specialised teams, based on sector and/or country specific.

• Field research as part of baseline studies contributing to project preparation for gender projects.

To start 1st Q 2009

Continued development of on-going initiatives.

Develop and strengthen areas where the Bank has already achieved gender-related progress; TAM/BAS initiatives, TCs, the implementation of gender-related work in the ESD, and ongoing work within GSB.

• A consultation process with other IFIs, European Commission, donors, and banking institutions, in order to keep up with initiatives with a similar objective, as well as monitor policy processes, especially at EU level, which are likely to impact on Bank countries and sectors of operation.

Ongoing

Other potential initiatives.

Within the Bank’s transition mandate and capacity for action, there are a few initiatives which could be investigated and developed.

• Dedicated Credit Lines, supporting female borrowers;

• Financial education support for Women in Business;

• There is potential for the development of standard “codes of conduct” clauses for companies.

TBD.

Action Description Deliverables Timeframe/ResourceImplications

Creation of Gender Steering Group.

The gender Steering Group comprises members from m Banking, OCE, Communications and ESD.

• Terms of Reference (ToR) for the Steering Group on Gender;

• A full-time gender specialist, to implement the Group’s recommendations will be assigned,

3Q 2008

Training. Gender training to be mandatory for senior management and banking staff, as well as for Board members.

In co-ordination with HR, it is envisaged that nominee directors also be offered gender awareness training.

• ToR and internal gender awareness training guidelines;

• Possible incorporation of internal training to coincide with training on new Environment and Social Policy;

• Review/assessment of existing levels of gender awareness, and familiarity with current gender-related initiatives, among Bank staff;

• Specific gender training for staff, including on links to the Bank’s transition mandate;

• Specific gender training for project related staff

• Potential regional advisory group on gender issues, comprising members from business, policy-making, and NGO community;

3Q for TOR and selection of consultant

Ongoing.

3Q start – 4Q 2009

Strengthening of social safeguards and labour due diligence.

Adverse gender impacts and gender discrimination in the workforce and the affected communities could be given an increased focus at the project due diligence stage.

• Development of “Code of Conduct” relating to non-discrimination in employment and labour issues.

IV Q 2008.

Mainstreaming of Gender in Bank Mainstreaming of Gender in Bank operationsoperations

ConclusionsConclusions

Bank operations have positive gender impact today:

– Transition mandate supports growth and gender

– Demonstration – Boards

– Pro-Active – Energy Efficiency, Municipal/Environmental Infrastructure, Microlending, Financial Institutions, TAM/BAS

Bank has built Business Case to broaden its role as a positive actor

Through Action Plan the Bank will increase positive interventions through existing efforts as well as in new opportunities