Gender Equality: Yeah, It’s a Big Deal

Gender inequality isn’t just unfair

It’s also a major buzzkill for the global economy. If women had the same economic opportunities as men, we could see around $12 trillion added to the global GDP by 2025. Yeah, you heard that right—$12 trillion. That’s an 11% boost, according to one analysis.

Women’s empowerment and economic growth

When it comes to economic growth, empowering women is a no-brainer. Economically empowered women invest more in their families. This creates a ripple effect of positive outcomes that span generations. They also bring diverse perspectives to the workforce, leading to greater productivity and innovation. Pretty cool, huh?

Gender-related aid

Because of these benefits, governments and NGOs are funneling aid into promoting women’s empowerment in developing countries.

As an economist who studies development, I wanted to see if all this money was making a difference. So, my colleagues and I analyzed gender-related aid impact using data from 118 countries over 13 years (2009–2022). And guess what we found? This aid actually works.

Breaking it down: Two types of gender-related aid

There are two kinds of gender-focused aid. First, there’s aid tied to broader economic goals, known as “significant gender-related aid.” Then, there’s aid specifically targeting gender equality, called “principal gender-related aid.”

In our study, the first approach significantly reduced inequality in 115 out of the 118 countries. The latter approach also had a major impact, especially when combined with the first.

Women’s empowerment success stories

This all sounds great in theory, but what about in real life? Here’s where it gets interesting. Check out these success stories:

• Rwanda: After the 1994 genocide, Rwanda focused on rebuilding with gender equality at its core. Today, women hold 61% of parliamentary seats—the highest in the world. This was a result of focused policies and investments in women’s political empowerment.

• Bangladesh: Despite traditional gender roles, Bangladesh is kicking butt in education and economic participation. Programs like the Female Secondary School Stipend Program and initiatives by organizations like the Grameen Bank have made a massive impact.

• Ethiopia: Heavy investments in education for girls have led to improved literacy and better health outcomes. These advancements have economically and socially empowered women, shrinking gender inequality.

But here’s the catch: These successes aren’t set in stone. Recent policy changes in Afghanistan, Brazil, and the United States show that we need to stay vigilant.

Empowering women empowers men, too

Let’s not forget: everyone wins when society is more gender-equal. Women’s economic empowerment boosts the economy, benefiting everyone. Research shows gender equality also promotes healthier relationships and reduces violence. Workplaces focusing on gender equality tend to have better dynamics and higher productivity.

And it gets better for men, too. Gender equality can reduce pressures related to traditional masculinity, improving mental health. Men in more gender-equal societies are generally happier and less stressed. It’s a win-win for all.

Research-backed best practices

To keep making strides in gender equality, here are some research-backed tips for governments and aid professionals:

1. Keep the aid flowing: Financial and technical support for gender equality initiatives is crucial. Focus on integrating gender considerations into all development projects.
2. Engage everyone: Involve men and boys in gender equality efforts to challenge harmful norms and foster inclusivity.
3. Tailor strategies: Customize initiatives to fit each country’s unique socio-political and cultural context.
4. Strengthen institutions: Effective institutions and governance are key. Improving governance and reducing corruption can amplify the impact of aid.
5. Promote education: Schools are powerful tools for promoting equality. Invest in educational programs that empower women and girls.

Conclusion

Gender equality isn’t just a lofty ideal. It’s essential for a just and thriving society. Empowering women benefits everyone, leading to economic growth, political stability, and social cohesion. Our research shows that these efforts pay off—literally and otherwise.

Gender equality? Yeah, it’s a big deal. And we all have a stake in making it happen.