India is witnessing a significant shift in women’s participation in the formal credit system, with their total credit portfolio rising to Rs 76 lakh crore—about 26% of the country’s overall credit, according to a new report released on Wednesday.
The study, prepared by NITI Aayog under its Women Entrepreneurship Platform (WEP) in collaboration with TransUnion CIBIL and MicroSave Consulting, highlights how women borrowers are no longer just entering the credit system but steadily advancing within it. Since 2017, women’s credit exposure has expanded nearly fivefold, reflecting a transition from basic financial inclusion to more meaningful economic participation.
NITI Aayog CEO Nidhi Chhibber emphasized that broader and deeper participation in financial markets is key to economic growth. She noted that the integration of digital public infrastructure with formal lending systems has made it easier to track and support women’s economic activity. More importantly, women are increasingly moving beyond small, entry-level loans to retail and business financing—an indicator of growing financial confidence and capability.
The data shows a consistent upward trend. Between December 2017 and December 2025, the number of credit-active women grew at a compound annual rate of 9%. During the same period, credit penetration among women rose sharply from 19% to 36%. In absolute terms, outstanding credit to women jumped from Rs 16 lakh crore in 2017 to Rs 76 lakh crore in 2025.
Despite this progress, the report points out that the opportunity ahead remains vast. India has an estimated 45 crore credit-eligible women, suggesting significant room for further expansion.
A key driver of this growth has been commercial lending. Credit to women entrepreneurs grew at a striking 31% annually between 2022 and 2025, outpacing the broader commercial credit growth rate of 17%. The report also notes a gradual shift among microfinance borrowers, with nearly one in five now accessing individual retail or business loans—marking a move toward more formal and diversified credit usage.
The findings are based on credit bureau data covering around 16 crore women borrowers, along with field research involving rural nano-entrepreneurs. For the first time, the report also incorporates microfinance data, offering a more comprehensive picture of how women in India are accessing and progressing within the credit ecosystem.
(With inputs from ANI)