By Swati Babel:
The trade finance sector is an essential component of the Indian economy, contributing significantly to the country’s growth and development. However, despite the many strides that women have made in various fields, they remain underrepresented in leadership positions in this critical industry. This gender gap in leadership roles poses a significant challenge to the sector’s growth and development, given that diversity and inclusion are crucial ingredients for driving innovation and competitiveness.
According to a report by the International Chamber of Commerce, women make up only 20 per cent of the global trade finance workforce, and only 10 per cent of senior leadership positions in the sector are held by women. In India, this gender gap is even more pronounced.
Building a pipeline of woman leaders in the trade finance sector is critical for promoting gender equality and achieving sustainable economic growth. Women bring unique perspectives, skills, and experiences that can drive innovation and foster more inclusive decision-making processes.
To address this gender gap and build more women leaders in the trade finance sector, several pathways can be pursued such as:
Providing Equal Opportunities for Education and Training
Education and training are essential ingredients in building woman leaders in trade finance. Access to quality education and training opportunities is crucial for women to acquire the skills, knowledge, and experience necessary to thrive in leadership roles. Therefore, it is essential to ensure that women have equal opportunities to access education and training programs.
Several initiatives and programmes provide education and training for women in trade finance, such as the International Finance Corporation’s Banking on Women initiative and the Women in Trade Finance Association’s mentorship program. Moreover, the International Chamber of Commerce launched the SheTrades initiative, which provides training and networking opportunities for women entrepreneurs in the trade sector. These initiatives provide women with access to finance, education, and networks to build their capacity and drive economic growth.
Offering Mentorship and Sponsorship Programmes
Mentorship and sponsorship are powerful tools for building woman leaders in trade finance. Mentorship provides women with guidance, advice, and support, while sponsorship offers women opportunities to advance in their careers by connecting them with decision-makers and advocates. Both these tools can help women overcome the barriers they face in the workplace and accelerate their career growth.
Various successful mentorship and sponsorship programmes exist for women in the trade finance industry, such as the Goldman Sachs 10,000 Women initiative and the Women in Finance Network’s mentorship programme. Similarly, the International Women’s Forum India launched the Women on Boards initiative to provide mentorship and support for women seeking board positions. However, more companies and organisations need to offer such programs to women to ensure that they have the support and opportunities to advance their careers.
Encouraging Diversity and Inclusion
Diversity and inclusion are crucial in building woman leaders in trade finance. Organisations that prioritise diversity and inclusion benefit from the diverse perspectives, experiences, and skills that women bring to the table. Therefore, more companies and organisations need to prioritise diversity and inclusion in their recruitment and promotion practices.
Addressing Unconscious Biases
Unconscious biases are a significant challenge to building women leaders in trade finance. These biases can affect recruitment, promotion, and decision-making processes, leading to women being overlooked for leadership roles. Addressing unconscious biases is essential to ensure that women have equal opportunities to advance their careers.
Several strategies can be employed to identify and address unconscious biases, such as unconscious bias training, diversity and inclusion training, and recruitment and promotion practices that prioritize diversity and inclusion. These strategies can help organisations identify and mitigate unconscious biases, leading to a more inclusive and diverse workplace.
Building more women leaders in the trade finance sector is essential for driving innovation and competitiveness in the industry. To achieve this, companies and organizations must pursue multiple pathways to success, such as providing equal opportunities for education and training, offering mentorship and sponsorship programmes, encouraging diversity and inclusion, and addressing unconscious biases.
By doing so, companies and organizations can build a more diverse and inclusive workplace, where women can thrive and contribute to the industry’s growth and development.
(The author Swati Babel, a cross-border trade finance business specialist, is vice-president of Triterras)