Investing in women and girls: Is gender parity the key to economic prosperity?

Research by the International Monetary Fund suggests that global GDP will increase when women are granted an equal playing field in the labour market and decision-making roles.

More specifically, reducing the gender gap in labour markets could boost GDP in emerging and developing economies by 8 per cent. Closing the gap entirely would increase GDP by 23 per cent on average.

But why is women's empowerment essential for economic growth and development?

Underrepresentation in decision-making roles, particularly in politics, is a widespread issue. Statistically, women account for less than 25 per cent of representatives in parliament in seven EU member states including Hungary, Ireland and Greece. 

The European Parliament fares better with a gender balance of 40 per cent women to 60 per cent men. The leaders of the EP and the European Commission are also women while some of Europe'smost influential financial bodies, like the European Central Bank and the European Investment Bank, have female presidents.

When it comes to climate change, the EIBdiscovered in 2022 that increasing the number of women in corporate decision-making roles could lead to a 0.5 per cent drop in CO2 emissions.

So how can Europe increase the number of women in positions of power to fast-track sustainable development and boost economic growth? Kristalina Georgieva, the Managing Director of the IMF shares her thoughts on the latest episode of the Global Conversation.

**Sasha Vakulina, Euronews:**Ms Georgieva, two thirds of the world's most prosperous countries in the world are in Europe, and yet income inequality is rife across the continent. How does inequality affect economic growth?

Kristalina Georgieva, IMF Managing Director: Growth and inequality are very