In the context of the digitalisation of economies impulsed by the so-called “cloud revolution”, business opportunities are expanding, thus boosting the economy. As the COVID-19 forced many sectors of the economy to recourse to digital technologies to maintain their activities, a significant gap has been observed between countries equipped with digital economies and many developing countries which faced an increase of the poverty and unemployment rates. In most cases, these challenges affected females to a larger extent than males.

According to the International Labour Organization, the Arab States saw the second- largest drop in the number of employed women, with women’s employment falling by 4.1% and men’s by 1.8% between 2019 and 2020, thus widening the gender gap. The reduction of the digital divide, with a specific effort towards the promotion of female entrepreneurship, is absolutely necessary. This paper explores the effect of COVID-19 on female entrepreneurial activities and the government role in accelerating female participation. It provides essential policy recommendations to improve the situation of women entrepreneurs in Egypt in the digital era.