Japan Allocates $5.6 Million to Support Women-Led Businesses in Afghanistan
Tawazon – The United Nations Development Programme (UNDP) says the Government of Japan has signed a new funding agreement, through the Japan International Cooperation Agency (JICA), to support a two-year initiative titled “The Project for the Improvement of Women’s Livelihoods through the Promotion of Economic Activity in the Border Areas.” aimed at improving the livelihoods and economic opportunities of women in Afghanistan’s border regions.
According to UNDP, the initiative aims to directly benefit Afghan women and vulnerable groups by strengthening access to community infrastructure, supporting women-led micro, small, and medium enterprises (MSMEs) and promoting inclusive local economic recovery.
Japan has allocated 864 million Japanese yen (approximately USD 5.6 million) for the project. The funding aims to strengthen access to community-based productive infrastructure through 73 small-scale projects and improve access to finance and markets for 2,100 women-led micro, small, and medium enterprises (MSMEs), promoting inclusive local economic recovery.
According to UNDP, the project seeks to enhance women entrepreneurs’ access to finance through subsidized loans and entrepreneurship training, thereby promoting women’s economic agency and their contribution to family and community recovery. It also aims to strengthening community-based public andproductive infrastructure to support economic empowerment, expand market opportunities for women to strengthen local economies, and foster positive masculinity through a whole family approach.
UNDP says this new program builds on the achievements of its earlier project, WE-ACT, which supported 1,260 women-led businesses and created more than 2,500 jobs, 87% of them for women. Under WE-ACT, 90 community-based infrastructures are also being completed to strengthen resilience and improve livelihoods. The new project will expand these gains to more women and families across border communities.
The signing ceremony took place on Wednesday, 18 November, between Kenichi Masamoto, Japan’s Ambassador for Afghanistan, and Stephen Rodriques, UNDP’s Resident Representative in Afghanistan.
Ambassador Masamoto said: “Japan stands with the people of Afghanistan, especially women, in their pursuit of economic independence and dignity. This project will help create safe and meaningful opportunities for women to support themselves and their families.”
UNDP’s representative emphasized: “We are proud to continue our strong partnership with Japan and JICA in supporting Afghan women to overcome barriers, access livelihoods, and contribute to community resilience.The new project follows in the footsteps of WE-ACT, which has successfully demonstrated that investing in women’s businesses is an imperative for a prospering Afghanistan.”
This project is implemented under UNDP’s broader framework, the Area-Based Approach to Development Emergency Initiatives (ABADEI), which supports community resilience, job creation, and inclusive economic recovery across Afghanistan.