New Delhi: The women credit market in India has witnessed a significant transformation, as NITI Aayog released the second edition of its report titled “From Borrowers to Builders: Women and India’s Evolving Credit Market.”
The report underscores the expanding footprint of women in formal finance, with their total credit portfolio reaching ₹76 lakh crore – accounting for 26% of the overall system credit.
Published in collaboration with the Women Entrepreneurship Platform (WEP), TransUnion CIBIL, and MicroSave Consulting, the findings highlight the accelerating growth of the women credit market in India, driven by both access and participation.
The report was launched in the presence of senior officials, including Nidhi Chhibber, CEO of NITI Aayog, along with key stakeholders from government and industry.
Women’s Credit Portfolio Expands 4.8 Times Since 2017
According to the report, the women credit market in India has grown 4.8 times since 2017. Women borrowers now hold ₹76 lakh crore in credit, up from ₹16 lakh crore in 2017. This growth reflects a transition from access-led inclusion to progression-led participation within the formal credit ecosystem.
The number of credit-active women borrowers registered a compound annual growth rate (CAGR) of 9% between December 2017 and December 2025. During the same period, credit penetration among women rose from 19% to 36%.
With nearly 45 crore credit-eligible women across the country, the report points to substantial headroom for further expansion.
Women Credit Market in India: Shift Towards Retail and Business Lending
Highlighting changing borrowing patterns, the report notes that women are increasingly moving beyond entry-level credit into retail and business-purpose lending. This shift is a key indicator of deepening financial inclusion and strengthening financial capability within the women credit market in India.
Nidhi Chhibber, CEO of NITI Aayog, said: “Economic development advances when participation in markets becomes broader, deeper and more efficient. The convergence of DPI and formal credit systems has significantly transformed how economic participation is recorded and financed.
The findings of this report reflect how women are increasingly shaping and benefitting from these shifts. Importantly, women borrowers are moving beyond entry-level credit towards retail and business-purpose lending, indicating strengthening financial capability and deeper economic integration.”
Commercial Credit Drives Growth
The report identifies commercial credit as a key growth driver in the women credit market in India. Credit to women business borrowers grew at a CAGR of 31% between 2022 and 2025, significantly higher than the 17% growth observed in overall commercial credit.
Additionally, the report highlights a gradual transition among microfinance borrowers. Around 19% of active Microfinance Institution (MFI) borrowers have moved towards individual retail and commercial loans, reflecting evolving financial behaviour in the women credit market in India.
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Geographical Expansion and Product Trends
The geographical spread of the women credit market in India is expanding, with northern states such as Bihar and Uttar Pradesh registering increased participation alongside traditionally strong southern and western regions.
In terms of product categories, personal and gold loans remain the most widely accessed credit products among women. However, housing loans are witnessing encouraging growth, signalling rising asset ownership trends within the women credit market in India.
Digital Infrastructure Boosts Financial Inclusion
The report highlights the role of rapid digitization across identity systems, payments, underwriting, and loan servicing in lowering entry barriers. These advancements are enabling more women to transition from informal borrowing channels to structured financial systems.
Data-Driven Insights and Research Scope
The report is based on longitudinal credit bureau data covering approximately 16 crore credit-active women, complemented by primary research involving 161 rural women nano-entrepreneurs. It also incorporates microfinance data, offering a comprehensive view of participation trends in the women credit market in India.
Prepared under the aegis of the Women Entrepreneurship Platform, the study builds on the Financing Women Collaborative (FWC) initiative launched in 2025 to address gaps in sex-disaggregated credit data.
Anna Roy, Programme Director at NITI Aayog and Mission Director of Women Entrepreneurship Platform, said: “The scale and diversification of women’s participation in formal credit signal a meaningful shift in India’s economic landscape. What is particularly encouraging is not just the increase in access, but the way women are moving across credit segments and engaging more actively with formal financial systems.
Sustaining this momentum will require continued focus on strengthening the enabling environment – so that increased participation translates into more resilient enterprises and deeper economic contribution over time.”
