"This report is the second edition of the study “Fintech: Innovations You May Not Know were from Latin America and the Caribbean” (IDB, 2017), which offered a comprehensive view of the activity in and development of the Fintech industry in the region. The report describes the evolution and the progress achieved with respect to the measurement and analysis carried out in 2017, and examines new dimensions relevant to the ecosystem. The first chapter provides a snapshot of the sector in the region, highlighting the evolution of the different business segments and the geographical distribution of the start-ups, as well as the state of development and maturity of the ecosystem. It includes new dimensions, such as the situation in Central America, Panama, and the Dominican Republic, as well as an approach to issues such as cybersecurity and start-up failures. The second chapter tackles gender issues and Fintech in three dimensions: women as founders of Fintech companies, women as workers in the Fintech industry, and women as users of Fintech services. The third chapter addresses collaboration between the different actors, how they are organized, and their main programs and initiatives, with special emphasis on Fintech associations in different countries in the region. The fourth chapter discusses the Fintech sector’s potential for improving financial inclusion and funding for the productive sector in Latin America. The fifth chapter examines the evolution of regulation and oversight and presents examples and developments in this area. The sixth chapter offers some conclusions about the continuous growth and progressive consolidation in the region’s ecosystem."
"We study the medium-term impacts of the Skills for Effective Entrepreneurship Development (SEED) program, an innovative in-residence 3-week mini-MBA program for high school students modeled after western business school curricula and adapted to the Ugandan context. The program featured two separate treatments: the hard-skills MBA features a mix of approximately 75% hard skills and 25% soft skills; the soft skills curriculum has the reverse mix. Using data on 4400 youth from a nationally representative sample in a 3-arm field experiment in Uganda, the 3.5 year follow-up demonstrated that training was effective in improving both hard and soft skills, but only soft skills were directly linked to improvements in self-efficacy, persuasion, and negotiation. The skill upgrade was rewarded in substantially higher earnings; 32.1% and 29.8% increases in earnings for those who attended hard- and soft-training, respectively, most of which, was generated through self-employment. Furthermore, youth in both groups were more likely to start enterprises and more successful in ensuring their businesses' survival. The program led to significantly larger profits (24.2% and 27.2% for hard- and soft- treatment arms respectively) and larger business capital investments (38.4% and 32.6% for SEED hard and SEED soft, respectively). Both SEED curricula were very cost-effective; two months worth of the extra earnings caused by the training alone would exceed the cost of the program. These benefits abstract from the job- and business-creation benefits of the program, which were substantial: relative to the control group, SEED entrepreneurs created 985 additional jobs and 550 new businesses."
"This knowledge brief seeks to capture the key takeaways from the recent series of three Impact Measurement and Management (IMM) Learning Labs hosted by the Aspen Network of Development Entrepreneurs, South Africa Chapter (ANDE SA) in partnership with the Allan Gray Orbis Foundation. These learning labs explore the importance of understanding impact in context, engaging multiple stakeholders to ensure appropriate contextual perception and the need to guarantee accurate reporting and impact measurement. This enables greater transparency in the data collection process, improved ability to interrogate assumptions leading to greater data-driven decision making to appropriately measure ones’ impact – be it at an intervention or organisational level."
This study demonstrates how investors can begin comparing investments based on impact, not only highlighting impact performance across this sample of investments but also exploring investors’ contribution to that impact in terms of the progress so far in supporting quality jobs. Fundamentally, this research is intended to cultivate the suite of impact analytic tools to come, such as impact performance benchmarks, ratings, and indices. Its specific findings highlight the tremendous need for further research to enhance the industry’s insights into impact performance and its drivers, enabling evidence-based decision-making. Ultimately, through this research and related efforts, the GIIN seeks to enable investors to optimize for impact at each stage of the investment process, accelerating progress
toward global goals.
Currently there are over 500 townships in the South Africa, whose combined land mass surpasses that of Johannesburg and Durban combined and which are home to an estimated 40% of South Africa’s urban population. While more is understood about the small and growing businesses (SGBs) in metropolitan areas, less is known about the entrepreneurial ecosystems in the townships and how to support the primarily micro, necessity-based businesses that operate there. This report focuses on identifying the key actors implementing programmes to support entrepreneurs and small businesses operating in townships in the Eastern Cape, Gauteng, and Western Cape Provinces, the challenges the entrepreneurial support providers face, and the opportunities to strengthen this ecosystem.
With the launch of the United Nations’ Sustainable Development Goals, "SDG 8: Decent Work and Economic Growth" has become a rallying cry for practitioners aiming to boost entrepreneurship as a means of economic and social development. However, while the concept of decent work may seem straightforward, clearly defining a “quality job” has proven to be a complex endeavor. The report by ANDE first summarizes how job quality is defined and measured, then provides an overview of the current evidence on the quality of jobs within SMEs, and finally examines the effectiveness of interventions to improve job quality.
The term talent management can be defined in various ways, but in general refers to a business’ processes to recruit, develop, and retain employees whose roles have the greatest potential to contribute to a firm’s competitive advantage. SMEs face certain constraints given their size and fragility and therefore need different approaches to find and retain a high-functioning workforce. This report summarizes the existing literature on talent management within SMEs, with a focus on developing economies where possible, and points to specific research gaps that should be prioritized moving forward.
Entrepreneurial ecosystems comprise the set of cultural, political, and economic elements that allow entrepreneurs to start, sustain, and scale a new business. While the concept of an entrepreneurial ecosystem is well-established, the evidence base on how exactly ecosystems grow and whether interventions can accelerate this growth is still emerging. This report synthesizes the existing evidence on the complex process of building entrepreneurial ecosystems and offers key lessons from the literature.
Business startup and growth is an important pathway to industry leadership and the
creation of personal wealth, as well as a key source of job creation, innovation and
economic growth. In this sense, women’s entrepreneurship can provide a means to
more rapidly advance gender equality in industries, communities and countries around
the world. The GEM 2020 Adult Population Survey ran from April through August
2020 and offered an important opportunity to examine pandemic impacts on women
entrepreneurs, in addition to an analysis of global trends. This year, we also invited GEM
researchers from around the world to contribute chapters on women’s entrepreneurship.
This year’s GEM Global Women’s Entrepreneurship Report has three main aims:
1. Identify key gender differences and similarities in business stages and
motivations. We identify countries and regions where gender gaps may be
significant and where they may be closing. All of these trends are considered across
countries, geographic regions and levels of national income.
2. Examine the structural and cultural factors that influence women’s
entrepreneurship. This analysis includes demographic characteristics (age,
education, household income), business characteristics and cultural factors,
such as cultural perceptions and high-growth activities that influence women’s
entrepreneurship in complex ways across regions, countries and levels of national
income.
3. Analyse how women entrepreneurs were affected by the COVID-19 pandemic.
In doing this analysis of the pandemic’s impact, we allow comparisons across the
country and regional contexts, taking into account the level of income by country as
an important indicator of economic development.
Our findings offer insights to a diverse audience of researchers, policymakers, educators
and practitioners. Our ultimate goal is to highlight areas where there are still gaps,
challenges and opportunities, where women entrepreneurs have made significant
progress and where the COVID-19 pandemic impacted their business performance and
perceptions.
SMEs form a dominant share of the private sector in developing countries, and account for more than 50
percent of jobs in their respective economies. Besides their positive employment effects, the growth and
vibrancy of these firms is also important for broader economic growth, diversification of economic base
and as a source of innovation that is exhibited by some of the start-ups. Women-owned SMEs are
emerging as one of the fast growing segments within the SME sector. Youth play an important role in the
creation of new firms and start up activities. Given this importance of SMEs for creation of more, better
and inclusive jobs, there is significant focus on understanding the constraints to growth of this sector and
implementing programs to address them in the World Bank Group and the other development
institutions. Among the several constraints that they face, access to finance is usually cited as the most
important and there are several instruments that can be applied to address this constraint. However, what
is the evidence of impact of these programs on the employment effects? This note brings together the
learnings and evidence from access to finance interventions on employment and provides some
recommendations for development practitioners who seek to maximize this objective from their access
to finance interventions.