Closing the gender gap: why financing equality pays off

On this International Women’s Day 2025, we celebrate the great progress achieved in women’s financial independence as well as participation in public life, economic activity and leadership over the past decades, but also acknowledge the many hurdles that still remain and even the pushback in some parts of the world against women’s rights and even the objective of equal participation in society.

There is a long way to go to remove the systemic barriers that remain. And yet evidence shows that closing the gender gap is not just a matter of fairness, it is a key driver of economic growth, innovation, stability and resilience.

Europe needs to tap all of its talent - and ensure that women in Europe compete on a level playing field. Women-led startups are still a rarity and the share of women on corporate boards averages 34% across the European Union—that is better than it used to be, but it’s still far from meeting EU targets.

The business case is clear: There are huge profits from tapping into female talent. There is a $700 billion global revenue opportunity for financial services providers in better serving women as customers. Women-led enterprises often exhibit lower risk profiles, higher repayment rates, and greater customer loyalty. Investing in women lays the foundation for more inclusive economic growth and stronger, more stable communities. Finally, women drive climate action and contribute to better governance. Companies with at least 30% of women on boards earn higher environmental, social and governance scores.

The European Union has made significant strides under its Gender Equality Strategy, championing landmark directives such as the Pay Transparency Directive and the Directive on Gender Balance in Corporate Boards, and has just unveiled its new Roadmap for Women's Rights. These initiatives are not just about setting rules; they address systemic inequities and create a foundation for inclusive economic growth.

In addition to legislation, we must ensure that women have the tools and resources needed to thrive, particularly in areas where they are underrepresented, such as entrepreneurship and finance.

At the European Investment Bank Group, we are committed to driving inclusive growth.

This week, together with the European Commission, we launched the InvestEU Gender Finance Lab, a flagship advisory programme that empowers EU commercial banks to increase investment in women entrepreneurs. 25 banks across Europe have committed to participating and we have already signed agreements with a partner bank in Spain to support women entrepreneurs in the pharmacy sector, and in Poland to lend to small and medium-sized companies owned or led by women.

We just extended the scope of our Sustainability Awareness Bonds to cover two new social objectives: gender equality and women’s economic empowerment. The proceeds of these bonds can now support projects around the world that provide finance for women owned and led projects. 

When we launched the Women Climate Leaders Network last year—uniting private sector leaders across Europe to champion sustainability—we never imagined that a year later, these four words would feel almost revolutionary: Women. Climate. Leaders. Network.

These words represent our European values. They show the commitment to partnerships and win-win outcomes. They form the basis of a more prosperous and peaceful world.

Furthermore, they consolidate Europe as a more female-friendly continent, capable of attracting talent and investment.

A collective effort is needed to drive this agenda forward, with bold and determined action from the public and private sector, from women and men, working together for a more competitive economy and a stronger society.

Let’s do it. This is not just the right thing to do; it’s the smart thing to do.