Women are the torchbearers for shaping sustainable economic models and driving financial inclusion. Their participation in financial systems not only enhances their decision-making powers but also strengthens national economies. This resonates with this year’s International Women’s Day which focuses on empowering women especially young women and adolescent girls under the broader theme of calls for action “For All Women and Girls: Rights, Equality and Empowerment”. It’s a significant year as it marks the 30th anniversary of the Beijing Declaration and Platform for Action. The declaration addresses how there can be greater access for women over economic structures as they are mostly underrepresented in economic decision-making making including the formulations of economic policies. The declaration highlights that women’s empowerment and sustainable development of a country would be possible when there is equal participation of women in the economic decision-making process and they get recognition for their contribution to the economic development of a country.

Looking at the scenario in India, the Constitution of India promotes the economic empowerment of women. Articles 14 and 15 which are Fundamental Rights ensure the right to equality, equal opportunities, and non-discrimination and Articles 39(a), 39 (d), and 42 which are part of Directive Principles of State Policy direct the State to make law and policy to adequate means of livelihood, ensure equal pay for equal work and, just and humane conditions of work, and maternity relief.

Related News

Thus, to strengthen women’s capacities and drive the nation towards holistic economic development, the Government of India has taken significant central policy initiatives. There have been various initiatives ranging from Pradhan Mantri Jan Dhan Yojana (PMJDY), Direct Benefits Transfer (DBT), Pradhan Mantri Mudra Yojana (PMMY), Lakhpati Didi scheme.
The recent statistics by the Government of India on the statistics of PMJDY reveal that a total of 54.58 crore Jan Dhan accounts have been opened till 15.01.2025 of which 30.37 crore (55.7%) belongs to women. This means that a significant section of women are still excluded from getting access to bank accounts which hinders their financial security and also access to social security and welfare schemes. In a report, SEBI reveals that women have 42 percent of inactive bank accounts as compared to 30 percent in the case of men. The PMMY is also a significant policy initiative to promote financial inclusion and entrepreneurship across India. It has sanctioned loans worth 32.36 lakh crore, benefiting over 51.41 crore loan accounts, Out of the total loans sanctioned, 68 percent belong to women entrepreneurs. However, the majority of women’s accounts are in the Shishu category (loan amount is 50000/-) which is 79 percent out of which the percentage of sanctioned amount is 54 percent. In the Kishore category (loan is between 50000 to 5 lakhs) number of accounts is 21 percent and the sanctioned amount is 42 percent. There are no women’s accounts in the tarun category (loan amount is between 5-10 lakhs). The recent report by NITI AAyog in 2025 reveals that more women in India are using credit and actively monitoring their credit scores. There has been a growth of 27 million women in December 2024 monitoring their credit which means that there is a 42 per cent increase from the previous year. There is a significant rise in the share of women from the non-metro areas which is 48 percent as compared to 30 percent in the metro areas. Lakhpati Didi Yojana has empowered 1.15 crore women to achieve an annual household income of 1 lakh. A major catalyst for empowering women is their integration into the digital payments ecosystem. The report on Enabling Digital Payments for Women in India reveals that as of 2024 only 25 percent of digital payment users were women and only 23 percent of women have financial literacy.

As this 2025 women’s day is flagging and the Beijing Declaration has already stated that affirmative action should be taken ‘by Governments, intergovernmental organizations, academic and research institutions and the private sector for developing conceptual and practical methodologies for incorporating gender perspectives into all aspects of economic policy-making, including structural adjustment planning and programmes.’
The process of women’s financial inclusion in India is facing lots of challenges such as lack of gender-disaggregated data, persistent social and cultural barriers, lack of exclusive legal and institutional mechanisms, and so on.
Thus, women’s financial inclusion in India needs targeted strategies such as women-centric financial platforms enhancing financial literacy programmes, and simplifying digital payment methods. Furthermore, utilizing alternative credit scoring systems can empower women to make independent financial decisions. Lastly, it needs to ensure the ‘full, effective, and meaningful participation’ of all women so that no one is left behind.

Gaurika Chugh, Assistant Professor, Department of Policy and Management Studies, TERI School of Advanced Studies, New Delhi; Moumita Mandal, Assistant Professor, Department of Policy and Management Studies; TERI School of Advanced Studies, New Delhi; Sukanya Das, Professor, Department of Policy and Management Studies; TERI School of Advanced Studies, New Delhi.