Navigating financial barriers: challenges and strategies for rural women entrepreneurs in Zimbabwe

This study explores the financial challenges faced by rural women entrepreneurs in Zimbabwe and proposes strategies to foster entrepreneurial growth. Grounded in institutional and social capital theories, the research examines barriers to financial inclusion and economic participation. Data were collected through interviews with 11 women entrepreneurs, aged 20-50 years, engaged in diverse industries including cross-border trading, grocery, poultry, fashion, and education, and seven key informants, aged 30–79 years, comprising entrepreneurship experts, social entrepreneurs, government officers, and leaders from academia and finance.

The findings reveal significant barriers within the themes of banking and financial systems, economic and market dynamics. Key challenges include lack of collateral, rigid bank lending models, lack of trust in the banking system, inflation, reliance on parallel markets, and the complexities of the multi-currency system. Proposed strategies to address these barriers include the strengthening of microfinance institutions, adoption of group lending models tailoring bank loan products, promoting women-specific banks, stabilizing economic policies, and leveraging social capital networks.

The study highlights the critical role of institutional reforms and social capital in overcoming financial constraints, fostering trust in financial systems, and empowering rural women entrepreneurs. By addressing systemic barriers and enhancing community-based support systems, these strategies offer a pathway to inclusive entrepreneurship and economic resilience. The findings contribute to the literature by identifying actionable solutions and gaps for future research to further advance financial inclusion and entrepreneurial growth among rural women in Zimbabwe.