UN Women Urges Bold Investment to Close $420B Gender Equality Financing Gap

At the Fourth International Conference on Financing for Development (FfD4) in Seville, Spain, a resounding call was made to redirect the global development agenda toward financing gender equality, as leaders, policymakers, and advocates gathered to address one of the most persistent barriers to achieving the Sustainable Development Goals (SDGs) by 2030.

UN Women welcomed the adoption by consensus of the Compromiso de Sevilla, a renewed agreement that reaffirms international commitment to inclusive and sustainable development. Yet, the agency warned that goodwill alone is not enough.

Despite the recognition that gender equality is essential to building inclusive economies and resilient societies, there remains a staggering USD 420 billion annual funding shortfall in the investments needed to make gender equality a reality in developing countries. Without urgent action, millions of women and girls will continue to be left behind.

Political Will Exists—But Not the Money

UN Women emphasized that political promises must be matched with practical, sustained financial investment. While governments often express rhetorical support for women’s empowerment, few have followed through with meaningful budgetary commitments.

“We cannot close gender gaps with budgets that are lacking a gender lens,” said Nyaradzayi Gumbonzvanda, UN Women’s Deputy Executive Director.

“Governments must back their commitments with real investment and track how money is spent and what it achieves. Gender equality must move from the margins of budget lines to the heart of public policy. It takes money. It takes reform. And it takes leadership that sees women not as a cost, but as the future.”

Currently, only one in four countries has adequate systems in place to track how public funds are allocated to gender equality, making it nearly impossible to monitor the effectiveness of national efforts to achieve SDG targets for women and girls.

The Cost of Inaction

The chronic underfunding of gender equality has far-reaching implications:

• Services for women and girls, especially in the poorest nations, remain vastly under-resourced.

• Global financing flows tend to bypass low-income countries, where most women in need reside.

• Austerity policies and structural adjustment programs continue to restrict public investments in essential services like healthcare, education, and caregiving.

UN Women made clear that unless financing models change, gender gaps in income, health, education, and political participation will persist or even widen.

Recommendations for a Decade of Action

UN Women laid out a concrete roadmap for closing the gender financing gap, anchored in long-term, systemic change:

1. Expand Gender-Responsive Budgeting (GRB): Governments must embed GRB into national fiscal frameworks, ensuring that funds are allocated to sectors and services that directly impact the rights and well-being of women and girls. This means aligning national development priorities with gender equality goals and strengthening institutional capacity to track and report on gender-related expenditure.

2. Implement Urgent Debt Relief and Tax Reforms: UN Women called for fairer global financial rules, gender-responsive tax reforms, and debt relief for low-income countries. These are crucial steps toward freeing up fiscal space for governments to invest in public services and reduce economic inequality.

3. Rebalance Public Spending: Countries must shift from short-term security-heavy spending toward investments that promote long-term social resilience, including gender equality, peacebuilding, and inclusion. This means prioritizing education, health, and care services—sectors where women are both service providers and beneficiaries.

4. Invest in Public Care Infrastructure: One of the most powerful economic interventions lies in investing in public care systems, including childcare and eldercare.

   • A 10% investment of national income in care services could lift millions out of poverty, boost household incomes, and create millions of decent jobs, especially for women.

   • This would also enable greater workforce participation, supporting economic growth while addressing gender disparities.

Bridging the $420 Billion Gap by 2030

The FfD4 conference offered a vital platform to mobilize political will and shift development financing paradigms. However, as the meeting concludes, UN Women warns that talk must now be followed by transformative financial commitments.

UN Women underscored that continued underinvestment in gender equality is not just a failure to fulfill human rights—it is a developmental dead end. Advancing gender equality is essential to the success of the 2030 Agenda for Sustainable Development and the Beijing Platform for Action, both of which remain off track.

As global leaders move forward from Seville, the challenge is clear: match vision with resources, and ensure that financing for development includes financing for women.