Women’s Credit Demand Triples Between 2019 And 2024, Rural Borrowing Rises

Women seeking credit have tripled between 2019 and 2024, with 60% of female borrowers coming from semi-urban or rural areas, according to a report by Niti Aayog, TransUnion CIBIL, and MicroSave Consulting. The study highlights the increasing role of women in India’s economic growth while also pointing out financial barriers.

The share of women in business loan origination has risen by 14% since 2019. By December 2024, women made up 35% of business borrowers. Their participation in gold loans also grew significantly, now accounting for 36% of all loans availed by women, up from 19% in 2019.

Despite these gains, women under 30 account for only 27% of retail credit, compared to 40% for men. Personal finance loans for women increased slightly, making up 42% of total loans in 2024, compared to 39% in 2019.

Financial Awareness And Inclusion Rising

The report highlighted a 42% year-on-year increase in women actively monitoring their credit health, signaling greater financial awareness. However, while women form nearly half of India’s population, they contribute only 18% to GDP, underscoring the need for further economic inclusion.

The credit supply for women in business has improved, but most loans availed by women are still against gold. This reflects both growing financial participation and the reliance on secured loans.

“The findings are encouraging,” said B V R Subrahmanyam, CEO of Niti Aayog. He emphasized that improved credit awareness is a key step toward financial empowerment. Experts suggest targeted financial products and policies to further boost credit access for women borrowers in India.

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