Most women across the globe rely on the informal work sector for an income. If women were empowered to do more and be more, the possibility for economic growth becomes apparent. Empowering women in developing countries is essential to reduce global poverty since women represent most of the world’s poor population. Eliminating a significant part of a nation’s work force on the sole basis of gender can have detrimental effects on the economy of that nation.
In addition, female participation in counsels, groups, and businesses is seen to increase efficiency. For a general idea on how an empowered women can impact a situation monetarily, a study found that of fortune 500 companies, “those with more women board directors had significantly higher financial returns, including 53 percent higher returns on equity, 24 percent higher returns on sales and 67 percent higher returns on invested capital (OECD, 2008).” This study shows the impact women can have on the overall economic benefits of a company. If implemented on a global scale, the inclusion of women in the formal workforce (like a fortune 500 company) can increase the economic output of a nation.
Therefore, if women have, and if they are able to use, the right knowledge and skills in their employment, they can also help businesses grow and economies prosper.