Gender equality could boost global GDP by 20%, but here’s what’s holding it back
As governments search for ways to stimulate growth in an increasingly uncertain global economy, the lesson is becoming clearer. Gender equality is not peripheral to economic policy—it is central to it.
Women, the report argues, are not simply filling jobs; they are creating them—driving entrepreneurship, expanding markets, and strengthening economic systems.
In 2012, Japan faced a problem many advanced economies now recognize: a shrinking workforce and slowing growth. Its response was both practical and transformative.
By making it easier for women to work—through expanded childcare, better parental leave, and incentives for employers—the country added two million women to its workforce within seven years.
The result was not just higher employment, but a more resilient economy.
That example now sits at the heart of a broader global argument: gender equality is not simply a social goal—it is an economic strategy.
A new analysis from a World Bank report, Women, Business and the Law 2026, suggests the stakes are far higher than often acknowledged. Across the world, women still hold only about two-thirds of the legal rights granted to men.
Even where laws exist, enforcement is inconsistent, and the systems needed to support those rights are often missing.
The gap between policy and reality is stark. Just 4 % of women live in economies with near full legal equality. In many countries, protections against harassment remain incomplete, access to credit is uneven, and childcare systems—critical to enabling women’s participation—are underdeveloped.
Yet the economic case for change is difficult to ignore. Closing gender gaps in labour force participation could increase GDP [gross domestic product] by as much as 20% in many economies.
Women, the report argues, are not simply filling jobs; they are creating them—driving entrepreneurship, expanding markets, and strengthening economic systems.
Still, progress is uneven. Some countries have introduced reforms to strengthen protections against violence or expand women’s access to business opportunities. Others have taken steps to close legal loopholes, particularly around child marriage and workplace discrimination.
But these efforts remain fragmented, and implementation continues to lag behind ambition.
The challenge now is less about identifying the problem and more about execution. Laws alone are not enough. Without functioning institutions, reliable enforcement, and investment in systems like childcare and property rights, reforms risk remaining symbolic.
As governments search for ways to stimulate growth in an increasingly uncertain global economy, the lesson is becoming clearer. Gender equality is not peripheral to economic policy—it is central to it.