India’s bold vision to transform the nation into a $30-plus trillion economy with a per capita income exceeding $18,000 by the 2047, will see the nation utilising its demographic dividend, where women emerge as a catalyst. The nation’s economic growth trajectory relies on its women workforce and therefore their empowerment is both a social need and an economic necessity.
Since the launch of the Udyam Portal on July 1, 2020, MSMEs owned by women have made up for 20.5 per cent of all MSMEs, which accounts for 30 per cent of the GDP. About 46 per cent of the 1.49 lakh startups recognised under the Startup India initiative have at least one female director. As more women enter the workforce, the country is poised for a revolutionary economic shift. Between 2017-18 and 2023-24, India experienced a significant decline in the female unemployment rate as it observed an increase in the Female Labour Force Participation Rate and Work Participation Rate for women, from 23 per cent to 41 per cent.
The Pradhan Mantri Mudra Yojana has authorised more than 52 crore loans totaling Rs 32.61 lakh crore since its inception in April 2015. This clear shift in the mindset from that of a job seeker to a job provider is being led confidently by women as is evident from the fact that 68 per cent loans are being availed by women. Through focused initiatives that include financial inclusion schemes, self-help groups (SHGs), and microfinance programmes, rural women entrepreneurs have significantly boosted community resilience, unlocked local economic potential and made significant contributions to rural development. SHGs alone have empowered millions of women by facilitating skill development, fostering financial literacy and granting access to capital.
The Deendayal Antyodaya Yojana has mobilised 10.05 crore rural women households into more than 90.90 lakh SHGs. These initiatives address skill and infrastructure deficits to ensure inclusive growth. Furthermore, maternity benefits and programmes such as Beti Bachao Beti Padhao have facilitated the entry of more women into the workforce. The Narishakti Vandan Adhiniyam,Women’s Reservation Bill, passed in 2023, aims to reserve 33 per cent of seats in the Lok Sabha and state legislative assemblies for women. PM Modi’s emphasis on Nari Shakti in the GYAN framework is yet another step in this direction.
Research, as cited in the book Viksit Bharat: India@2047, indicates that increasing the participation of women’s workforce to levels similar to that of men could potentially boost India’s GDP by several trillion dollars by 2047. In order to reach $30 trillion, India needs to further increase female participation to 50 per cent, invest in women-led innovation, and ensure equitable policies.
To conclude, India must recognize and capitalise on the economic power of women if it aims to achieve the goal of Viksit Bharat by 2047. Women participation, innovation, and leadership are key drivers of sustained economic growth, social progress, and national prosperity. Empowering women is not just about fairness—it is a strategic investment vital for building a vibrant, inclusive, and prosperous Indian economy.