India’s Growth Story is Incomplete Without Women Entrepreneurs

India’s economic progress is frequently depicted through the lens of rapid digital revolution, a thriving startup ecosystem, and a youthful, ambitious workforce. However, an indisputable truth remains: India’s economic growth would not be complete unless the potential of women entrepreneurs is completely realized. Despite accounting for 48% of India's population, women comprise only 22% of the country’s total entrepreneurs, with nearly 15.7 million women-led enterprises. When equipped with the correct ecosystem, these enterprises can play a significant role in the Viksit Bharat 2047 goal and aiding India become a globally competitive and fully developed economy.

However, women entrepreneurs in India face systemic challenges, including restricted access to institutional funding and mentorship, as well as socio-cultural restraints and exclusion from commercial networks. During the era, when innovation and entrepreneurship are propelling India’s economic growth, failure to empower women entrepreneurs is more than a matter of gender inequity; it is an economic bottleneck.

The Indispensable Role of Women Entrepreneurs in India’s Economic Growth

Women entrepreneurs do not just contribute to the economic progress, but they change the economic paradigm by introducing sustainable company concepts, supporting community development, and creating job possibilities. Moreover, MSME sector, which contributes 30% to India’s GDP and employs over 110 million people, has 22% of its businesses owned by women. However, this statistic is expected to be higher.  Women’s entrepreneurial participation remains an untapped lever for economic acceleration, especially in a country where over 20 million women leave the workforce annually due to socio-economic constraints.

The participation of women entrepreneurs is about more than simply justice; it is also about economic efficiency. India's startup ecosystem, which is rated third in the world, has seen an exponential increase in unicorn startups, yet only a small percentage of funded startups in India include a female founder or co-founder. This disparity implies a missed economic opportunity in a country striving to be a worldwide leader in innovation-driven growth.

Bridging the Gap: Empowering Women Entrepreneurs

Only around 9.3% of venture capital funding in India is directed toward women-led startups. This is despite global data suggesting that women-led businesses generate higher revenue per dollar invested than those led by men. The bias in investment culture, where funders often prefer male-led businesses means that women are forced to rely on personal savings and informal credit sources, restricting their ability to innovate and expand.

Recognizing the vital need to empower women entrepreneurs, Startup Mahakumbh 2025, India's largest startup event, is establishing a transformative platform for women entrepreneurs to have access to funding, mentorship, industry experts, and high-impact networking opportunities. The event serves as a policy dialogue platform, ensuring that government bodies receive firsthand insights into the challenges faced by women entrepreneurs, enabling policy-driven change.

Several government and institutional initiatives are actively working to empower women entrepreneurs and bridge existing gaps in funding, mentorship, and business development. Stand-Up India provides collateral-free loans to women entrepreneurs, enabling them to establish businesses in manufacturing, trading, and services. 

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The Women Entrepreneurship Platform (WEP) by NITI Aayog serves as a single-window resource hub, offering access to funding, mentorship, and strategic business growth opportunities. Additionally, the Swavalambini Program, launched by the Ministry of Skill Development and Entrepreneurship, focuses on fostering entrepreneurship among young women by providing financial support, incubation, and mentorship at the educational level. However, to fully unlock the economic potential of women entrepreneurs, a multi-pronged policy approach is essential. 

Gender-inclusive investment policies must be mandated to ensure venture capital firms allocate a fixed percentage of funds to women-led startups while also expanding government-backed credit guarantees. The creation of women-centric startup incubators should be incentivized to support early-stage businesses. Additionally, structural reforms in banking and finance must be introduced, simplifying lending processes and lowering interest rates for women-led enterprises. Finally, state-backed mentorship networks should be implemented to connect aspiring women entrepreneurs with experienced industry leaders, equipping them with the necessary skills and knowledge to thrive in India's rapidly growing startup ecosystem.

The Future of Women Entrepreneurship in India

The trajectory for women-led businesses in India is poised for exponential growth. By 2030, India’s women entrepreneurs are projected to create 150-170 million jobs, significantly contributing to employment and GDP expansion. If barriers to financing and networks are removed, the number of women-led enterprises can double within the next decade, strengthening India’s global startup presence.

Women entrepreneurs are not just a segment of India’s economy—they are a powerful economic force that, if fully supported, can propel India into a new era of innovation, employment, and global competitiveness. For Viksit Bharat 2047 to materialize, women entrepreneurs must be at the forefront of India's economic blueprint. Anything less would mean leaving behind a massive untapped engine of economic transformation.

Credit: This article is written by Tripti Shinghal Somani Founder @Womennovator | Partner @ K G Somani | Policy Changemaker | Success Coach Views expressed are personal and do not represent the opinions of any affiliated organizations.