NITI Aayog Report Reveals ₹76 Lakh Crore Portfolio and Rapid Shift Toward Enterprise Lending

The report builds on WEP’s Financing Women Collaborative (FWC) initiative launched in 2025, aimed at addressing gaps in sex-disaggregated credit data and improving policy design.

In a powerful indicator of India’s evolving financial landscape, women borrowers are emerging as a transformative force in the country’s credit ecosystem, with total outstanding credit to women reaching an unprecedented ₹76 lakh crore, accounting for 26% of the overall system credit, according to a new report released by NITI Aayog.

The report, titled “From Borrowers to Builders: Women and India’s Evolving Credit Market” (Second Edition), was launched by CEO, NITI Aayog, Nidhi Chhibber, in New Delhi on April 7, 2026, in the presence of senior government officials, industry leaders, and financial sector experts.

A Structural Shift in Women’s Financial Participation

The findings point to a fundamental transformation in women’s role within India’s credit ecosystem—from being largely access-driven borrowers to increasingly becoming active economic participants and enterprise builders.

Since 2017:

• Women’s credit exposure has expanded 4.8 times

• Total outstanding credit has surged from ₹16 lakh crore to ₹76 lakh crore

• Credit penetration among women has risen from 19% to 36%

• The number of credit-active women borrowers has grown at a 9% CAGR

These trends underscore a transition toward progression-led financial inclusion, where women are not just accessing credit but leveraging it for economic mobility and business growth.

From Entry-Level Credit to Business Financing

One of the most striking insights from the report is the shift in borrowing patterns. Women are increasingly moving beyond small-ticket and consumption loans toward:

• Retail lending products

• Business-purpose loans

• Commercial credit segments

Credit to women entrepreneurs has grown particularly rapidly, recording a 31% CAGR between 2022 and 2025, significantly outpacing the 17% growth in overall commercial credit.

Additionally, the report highlights a gradual transition of microfinance borrowers into formal credit systems, with 19% of active microfinance borrowers now holding retail or commercial loans—a key indicator of upward financial mobility.

Digital Public Infrastructure Fuels Inclusion

The report attributes much of this growth to the convergence of Digital Public Infrastructure (DPI) and formal financial systems, including advancements in:

• Digital identity

• Payments ecosystems

• Credit underwriting technologies

• Loan servicing platforms

These innovations have significantly lowered entry barriers, enabling women—especially in underserved regions—to transition from informal borrowing to structured, formal credit channels.

Speaking at the launch, Nidhi Chhibber emphasized:

“Economic development advances when participation in markets becomes broader, deeper and more efficient… women borrowers are moving beyond entry-level credit towards retail and business-purpose lending, indicating strengthening financial capability and deeper economic integration.”

Expanding Geographic Footprint

While southern and western states continue to lead in credit penetration, the report highlights rapid growth in northern states such as Bihar and Uttar Pradesh, indicating a more balanced and inclusive geographic spread of financial access.

Product-wise:

• Personal and gold loans remain the most widely accessed

• Housing loans are witnessing strong growth, signaling rising asset ownership among women

This diversification reflects improving financial confidence and long-term economic planning among women borrowers.

Untapped Potential: 45 Crore Credit-Eligible Women

Despite the impressive growth, the report identifies a vast opportunity ahead. India has nearly 45 crore credit-eligible women, indicating significant headroom for expanding financial inclusion and deepening credit access.

Data-Driven Insights and Policy Implications

The report is based on extensive analysis of:

• Longitudinal credit bureau data of ~16 crore women borrowers

• Primary research involving rural nano-entrepreneurs

For the first time, it also incorporates microfinance data, making it one of the most comprehensive assessments of women’s participation in India’s credit ecosystem.

Prepared under the aegis of the Women Entrepreneurship Platform (WEP), the report is a collaborative effort between TransUnion CIBIL and MicroSave Consulting (MSC).

Strengthening the Enabling Ecosystem

Anna Roy, Programme Director, NITI Aayog and Mission Director, WEP, highlighted that the real challenge now lies in sustaining momentum:

“The scale and diversification of women’s participation in formal credit signal a meaningful shift… continued focus on strengthening the enabling environment will ensure this translates into resilient enterprises and deeper economic contribution.”

The report builds on WEP’s Financing Women Collaborative (FWC) initiative launched in 2025, aimed at addressing gaps in sex-disaggregated credit data and improving policy design.

Toward Inclusive and Resilient Growth

The findings reinforce the idea that women’s financial inclusion is no longer just a social objective but a core economic driver. By enabling women to access and effectively utilize credit, India is unlocking:

• Greater entrepreneurial activity

• Stronger household financial stability

• Enhanced economic resilience

As India continues its journey toward becoming a $5 trillion economy and beyond, the growing financial empowerment of women is set to play a pivotal role in shaping the country’s development trajectory.

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Read the full report:https://niti.gov.in/sites/default/files/2026-04/From-Borrowers-To-Builders-Women-and-India-Evolving-Credit-Market.pdf