In Brazil, Black people make up more than half of the country’s population, but constitute close to 75% of the country’s low-income and unemployed communities.
This inequity is especially visible in the labor market: 67% of Afro-Brazilians do not have formal jobs, and only 4.7% of executives among the country's 500 largest companies are Black. These disparities become more apparent when a gender lens is applied – on average, Black women in Brazil earn 71% less than White men.
Black entrepreneurs face barriers in accessing capital and tools to grow their businesses
Social entrepreneurship and small business development are important vehicles in advancing financial participation for Black communities, providing decent job opportunities for Afro-Brazilians who have historically been underrepresented as founders, business leaders, and in the labor market.
“Without a doubt, the main challenge for Black entrepreneurs is gaining access to capital – above all seed capital. Many of us come from backgrounds where our parents worked as housewives, teachers, or delivery staff. So, not only for their benefit, but also for ours and the progress of our communities, we need institutions to believe in us from the beginning. We have the creativity, the execution, and the knowledge – and now what we really need is the capital. ”
NESsT Racial Equity Initiative
NESsT launched the Racial Equity Entrepreneurship Initiative in 2022 to improve financial inclusion for Black people in Brazil. This initiative is supported by Citi Foundation and BNY Mellon.
The Racial Equity Initiative is a multi-year program that provides funding, mentorship, and business assistance to impact-driven enterprises led by Black entrepreneurs, supporting them to access more capital and scale their businesses.
All enterprises receiving support from the Racial Equity Initiative generate and sustain employment and income opportunities for underrepresented racial or ethnic groups or low-income Afro-descendant individuals residing in Brazil, either in urban or rural areas, including Quilombolas, who consist of communities of Afro-descendants residing in rural territories.
Impact
+13,500
individuals impacted
2,000
Black individuals trained or upskilled
+5,500
jobs generated or sustained
67%
jobs created for women
+$500K
deployed to Black-led businesses as pre-seed capital and capacity support
6
enterprises financed
“We work closely with Quilombola communities with remarkable emerging businesses that are a beacon of hope for other families. These initiatives provide individuals with opportunities to overcome poverty and the ability to make choices about their lives. Engaging with these communities and supporting their autonomy is an essential part of our work.”
Meet the NESsT Racial Equity Initiative Portfolio
