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Economic Empowerment and Gender Pay Gap: South African Women Lead Ahead of G20 Summit 2025

As South Africa prepares to host the G20 Summit in November 2025, women are stepping into the spotlight of economic transformation. Backed by government initiatives like the R300 million Women Entrepreneurship Fund, female-led businesses are growing, yet the gender pay gap remains a pressing challenge. With women in East and Southern Africa earning 21% less than men, the summit provides a powerful platform to advance equality, close systemic gaps, and showcase South Africa’s commitment to inclusive growth

Jamie Rautenbach by Jamie Rautenbach
2025-09-04 09:11
in News
Economic Empowerment and Gender Pay Gap

Economic Empowerment and Gender Pay Gap. Photo by Christina Morillo via Pexels

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Summary

  • Women’s Economic Gains: South African women are advancing in entrepreneurship and leadership, supported by targeted government programmes and financing mechanisms.
  • Gender Pay Gap Persists: Women in East and Southern Africa earn about 21% less than men on average, underscoring the need for stronger policy implementation and accountability (UN Women).
  • G20 as a Catalyst: The 2025 G20 Leaders’ Summit offers a platform to spotlight women’s economic contributions and tackle systemic inequalities through the Women20 (W20) and related G20 tracks (IOL).

Advancing Women’s Economic Role

As South Africa prepares to host the G20 Leaders’ Summit in Johannesburg on 22–23 November 2025, women are at the forefront of economic transformation. This historic moment, aligned with the presidency theme “Solidarity, Equality, Sustainability”, provides a global stage to highlight women’s contributions to growth and to press for solutions to persistent challenges such as pay inequity and unequal access to capital (IOL).

Progress in Women’s Empowerment

South African women—more than half of the population—continue to expand their economic participation. Programmes such as the Women Entrepreneurship Fund, with a R300 million allocation from the Department of Small Business Development, have supported women-led enterprises with finance and capacity-building. The Small Enterprise Finance Agency (SEFA) further advances this agenda via dedicated support channels for women, including financing, mentorship, and market access initiatives. Across the continent, women comprise a substantial share of self-employed workers (often cited at around 58%), reflecting both entrepreneurial drive and the need to improve pathways into higher-productivity, better-paid sectors (CGD).

The Ongoing Gender Pay Gap

Despite progress, the gender pay gap remains significant. UN Women reports that women in East and Southern Africa earn about 21% less than men on average. In South Africa, women—particularly Black African women—face higher unemployment rates and are overrepresented in lower-paying sectors such as domestic work and retail. These disparities compound over time, limiting wealth accumulation, pension security, and intergenerational mobility.

Structural Barriers

Policy frameworks to promote gender equality exist, but implementation and enforcement can be uneven. Barriers include limited collateral and credit histories for accessing finance, unequal distribution of unpaid care work, and inconsistent corporate accountability for pay transparency and advancement. Advocates emphasize shifting from compliance-only approaches toward transformational strategies—expanding STEM and digital skills for girls and women, strengthening leadership pipelines, and embedding gender-responsive budgeting and procurement across the public and private sectors (CGD).

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Leveraging the G20 Summit

The G20 presidency offers South Africa an opportunity to mainstream gender equality across finance, labour, digital economy, and development tracks. The Women20 (W20) engagement group will advocate gender-responsive policies, including actions on pay equity, access to finance, care economy investments, and digital inclusion. Complementary events—such as forums on financial inclusion and women’s entrepreneurship—are expected to table actionable, time-bound recommendations that align with the presidency’s broader goals of inclusive growth and sustainability (CGD).

A Call for Collective Action

South Africa’s G20 presidency (1 December 2024–30 November 2025) is a chance to convert commitment into measurable outcomes. Priorities include scaling gender-responsive financing, enforcing pay-transparency and equal-pay measures, expanding public procurement opportunities for women-owned firms, and improving care infrastructure to boost women’s labour participation. Delivering durable change will require coordinated action by government, business, labour, and civil society (IOL).

Tags: EconomicsG20Women
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