Empowering Bharat's Women: PayNearby Women Financial Index 2025 reveals 'Transformative Trends' and 'Persistent Challenges'

Women are rapidly emerging as a pivotal force in India's financial landscape, particularly in rural and semi-urban areas.However, despite notable progress, gender disparities in financial literacy, credit accessibility, and economic participation continue to pose significant challenges. The PayNearby Women Financial Index (PWFI) 2025 provides critical insights into these dynamics, revealing both transformative trends and persistent inequalities. ?

The PWFI 2025, derived from a comprehensive survey of 10,000 agents nationwide, highlights a significant shift in the financial behavior of women in Bharat. This study underscores rising digital banking adoption, entrepreneurial aspirations, and a growing inclination toward formal credit, while also spotlighting systemic gender inequalities in financial decision-making and economic empowerment.

Key Findings: A Landscape of Progress and Persistent Gaps

1. Rising Digital Banking Adoption:

• Biometric Trust: 40% of women are now utilizing Aadhaar Enabled Payment System (AePS) face authentication for cash withdrawals, indicating growing trust in biometric banking solutions. 95% of female customers prefer AePS over traditional banking methods. ?
• Increased Participation: Women now constitute 24% of total AePS users in rural areas, reflecting their increasing participation in the digital financial ecosystem.

2. Entrepreneurial Aspirations and Credit Accessibility:

• Ambition and Demand: 63% of women in rural India aspire to start their own businesses, and 65% are open to formal credit, primarily for medical expenses, home repairs, and education.
• Funding Gap: However, only 23% of female entrepreneurs successfully secure credit from formal financial institutions, highlighting a significant funding gap.
• Agent Driven Solutions: Women agents are playing a crucial role in bridging this gap, facilitating structured lending solutions. ?

3. Savings and Investment Preferences:

• Structured Savings: 58% of women are demanding savings accounts with easy onboarding, indicating a growing preference for structured financial products.
• Priorities: Top savings priorities include child education (47%), medical emergencies (38%), and household electronic purchases (22%). 54% of women save between ?750 to ?1000 per month, though often through informal methods.

4. Digital Commerce and Financial Services Usage:

• E-commerce Growth: Digital commerce is witnessing rapid adoption, with 32% of women purchasing daily groceries online, followed by 26% for clothing and 27% for home essentials. 24% of women actively engage in online shopping. ?
• Essential Services: Financial services adoption is high for cash withdrawals (84%), mobile recharges (56%), and bill payments (41%).
• Health and Hygiene: Health and hygiene consumption is on the rise, with a 38% uptick in sanitary product adoption at financial service points. ?
• Underrepresentation: Women remain underrepresented in high-value digital transactions, largely due to financial literacy gaps and security concerns. ?

5. Financial Decision-Making and Autonomy:

• Dependence: 25% of women reported that their bank accounts are managed by their husbands or male family members.
• Advice Reliance: 74% of women rely on family members for financial advice, while only 16% consult financial professionals.
• Payment App Usage: 41% of women still do not use any payment apps.

Impact on RBI’s Financial Inclusion Index (FI-Index)

The FI-Index, introduced by the Reserve Bank of India (RBI), measures the country’s financial inclusion progress. The index has been steadily rising, reflecting the positive impact of women's increasing financial participation. ?

• Growing digital participation through AePS and mobile banking contributes to higher financial accessibility.
• Increased formal credit demand from women-led businesses boosts financial depth.
• Higher savings rates and investment patterns improve overall financial resilience. ?
• Female banking correspondents strengthen last-mile financial services in rural India. ?

Addressing Gender Inequality: Policy Recommendations

Despite progress, deep-rooted gender disparities persist. Addressing these challenges requires:

• Expanding Financial Literacy Programs: Implement women-centric financial education campaigns, especially in rural areas, and train female banking correspondents. ?
• Promoting Gender-Responsive Financial Products: Develop microfinance solutions tailored for women entrepreneurs and encourage banks to offer gender-inclusive credit policies.
• Strengthening Women’s Digital & Entrepreneurial Participation: Enhance digital banking awareness and support women-led fintech initiatives.
• Improving Access to Credit & Investment Opportunities: Increase financial incentives for women entrepreneurs and promote women-focused investment funds.

Towards a Gender-Equitable Financial Ecosystem

The PWFI 2025 serves as a crucial benchmark in understanding women’s financial aspirations and highlights the need for focused interventions to create a more inclusive digital economy.

As Anand Kumar Bajaj, MD & CEO of PayNearby, emphasized, "With over 63% of women aspiring to be entrepreneurs, it is imperative to provide them with the right financial tools and opportunities. Sashakt Naari, Sashakt Desh."

By fostering a gender-equitable financial ecosystem, India can unlock the full economic potential of its women, driving inclusive growth and strengthening the country’s financial resilience. Addressing the existing gaps with policy reforms, digital empowerment, and financial education is crucial to achieve this goal.