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Ruth Butaumocho
African Agenda
he early 80s and 90’s in Zimbabwe were characterised by a lot of economic activities as both men and women explored different ventures in hope of a better life.
With Zimbabwe still in its infancy having gained independence from white supremacy after a long protracted liberation struggle, the transitional period was rugged.
It is during that time that thousands of women crossed the borders in neighbouring countries in search of business and trading opportunities, since movement was now easier.
Many will remember with nostalgia how hundreds of Zimbabwean women of various ages, and limited educational qualifications would cross into South Africa, Botswana and Namibia, selling doilies.
With formal employment still in the hands of the minority white, women had to take up menial jobs or join the trek down South, to join the “doily trade”.
Over time, the doily trade picked up, so much that female traders would congest Beitbridge border post on their way to pavements, flea markets and residential areas where they would go door-to-door all over South Africa, from Pietermaritzburg to Queenstown.
These economic exploits resulted in some transcending language and distance barriers as they went as far as Port Elizabeth and Cape Town selling their wares, especially doilies.
Inspired by the exchange rate between the Rand, Pula and the local currency, the pressure to amass as much, but in a short period, was quite intense.
Proceeds from these economic escapades were used to renovate houses in the high density areas, buy furniture and supplement household income.
After spending weeks or months trudging along the streets of Botswana, South Africa, Namibia, with some even sleeping at bus termini in order to save, the women would return home with the “foreign currency” neatly wrapped in a piece of cloth, tucked neatly in the bosom.
The bounty was often accompanied by wall clocks, instant coffee, cooking oil, blankets, baby clothes or anything to sell back home.
Some of the money went towards school fees for their children, some who now hold powerful positions in different institutions in Zimbabwe and beyond.
In some instances, the proceeds of the doily trade were so handsome that had the women been enlightened about financial literacy, they would have invested in long-term paying ventures such as real estate, mining and even bought factories.
Sadly, the majority retired into poverty, some died as paupers because they did not invest for a rainy day.
More than four decades after the doily trade, the economic landscape has changed.
Women have since diversified into other entrepreneurial ventures, although cross border trading remains a viable option for those with limited opportunities.
Suffice to say, the majority of women still struggle to build sustainable businesses owing to lack of financial literacy.
Financial literacy remains the biggest barrier for the majority of women who are running small to medium enterprises.
A research done by QuickBooks in April this year has revealed that 74 percent of female entrepreneurs believe financial literacy is the biggest financial barrier when running a business.
A further 90 percent of female small business owners say their understanding of financial terms and skills impacts their ability to grow their business.
Given the significance of finance in this world, a woman’s long-term financial success may suffer greatly if they are not financially literate. It can also create barriers to business growth and success.
Lack of financial literacy can lead to several issues, including a higher chance of overspending, over borrowing and failing to invest in growth opportunities.
It can also make it harder to secure funding from investors or lenders because small business owners may struggle to prepare the financial statements and projections required.
This shows why female small business owners feel that financial literacy is a big hurdle to growing their business.
Presenting a paper on financial literacy during a conference organised by the South African Women in Dialogue (SAWID) in Johannesburg recently, South African born social entrepreneur Ms Colisile Tfwala said lack of financial literacy remained the biggest challenge for both youth and women who want to venture and sustain their businesses.
“Women struggle to remain in business because they lack proper financial advice, which is quite critical in any business.
“Studies have shown that everyone needs financial literacy, from kids whose financial behaviour is normally formed by the age of seven to youths who are now over-indebted because they are not financially literate,” she said.
Speaking of her experience in dealing with women, Ms Tfwala said the majority of women had high levels of ingenuity in the businesses they were running, but these often fold because they lacked the expertise on how to invest, manage the business, make the right decisions on money as well as when to collaborate should opportunities arise.
She called on African governments to encourage free courses on financial literacy.
Ms Tfwala is a social entrepreneur, a humanitarian, a certified finance coach and an economic development specialist.
With more than 10 years experience in financial literacy, having worked with thousands of women and youth entrepreneurs promoting economic development, she believes there is room and scope to strengthen female entrepreneurship.
Armed with years of experience in mentoring youths and women on financial literacy across the region, Ms Tfwala has since written a personal financial management workbook, which she uses for training.
Until Governments commit to promote women in business by providing free financial literacy courses, women will remain in the doily era, where their earnings will go towards self-sustenance. Governments and supporting partners should promote financial literacy among youth and women if Africa is to achieve engendered economies.
Financial literacy is crucial for entrepreneurs, regardless of gender.
With adequate financial education, entrepreneurs may be able to protect their businesses from the potential risks that lie ahead.
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