A recent case study from Nigeria examines how different types of community organizations impact women farmers’ ability to access savings and exercise financial decision-making. In many rural and marginalized communities, formal financial institutions are limited, and women are disproportionately excluded. Community-based organizations, therefore, play a critical role in enabling women to invest, grow their income, and participate fully in the economy.
Access to financial resources is essential for women’s economic empowerment. When women can save or access credit, they can diversify income streams, exercise greater control over household resources, and contribute to stronger food systems and improved household nutrition. Yet, in northern Nigeria’s dairy sector, many women remain unbanked due to a combination of legal, social, and practical barriers, including limited land ownership, lower literacy and digital skills, and social norms that undervalue women’s work as farmers.
Women in northern Nigeria play vital roles across the dairy value chain, from milking to selling milk to local traders and processors. Despite their contributions, these activities are often seen as extensions of domestic work rather than economic activity, limiting women’s decision-making power and access to resources. Low investment in equipment and adoption of best practices constrains productivity, making improved financial access critical for boosting both farm output and household incomes.
The Advancing Local Dairy Development in Nigeria (ALDDN) project addressed these challenges by strengthening women’s participation through community organizations. Between 2020 and 2025, ALDDN worked across six northern states to foster an inclusive dairy sector, forming or reinforcing 2,664 community organizations, including cooperatives and self-help groups (SHGs), reaching over 63,000 farmers, nearly 40% of whom were women.
SHGs are community-based collectives that facilitate savings, credit access, training, and social support. Under ALDDN, these groups provided platforms for financial literacy, vocational skill development, and access to microfinance loans through village savings and loan associations. Farmers reported significant changes in mindset and behaviors, with women learning to save, manage funds, and diversify income opportunities.
The study found that women-only groups offered unique benefits for leadership development and empowerment. In mixed-sex groups, men often dominated leadership positions, whereas women-only groups created safe spaces where women could take on roles like chairperson, build confidence, access social support for health or household needs, and foster stronger community bonds. These groups helped women support one another both technically and socially, although they sometimes struggled with broader ecosystem connections and long-term sustainability.
A key takeaway from the ALDDN project is that financial inclusion works best when paired with technical training and social support. Providing women with the knowledge to improve productivity, tools to manage and save income, and confidence to lead within their communities creates sustainable economic opportunities. By combining savings, digital access, and group support, women are better positioned to benefit from financial services and achieve broader empowerment outcomes.
