Over the past four years, India has experienced a significant rise in women-led enterprises, with over 2.2 crore women-owned Micro, Small, and Medium Enterprises (MSMEs) registering under various government initiatives. This impressive growth is largely attributed to the revised MSME definition that was introduced on July 1, 2020. By November 30, 2024, a total of 2,20,73,675 women-owned MSMEs had been recorded on the Udyam Registration Portal (URP) and Udyam Assist Platform (UAP). In specific regions, like Rajasthan’s Tonk and Sawai Madhopur districts, women-led MSMEs account for 13% of all enterprises, while Gujarat’s Valsad district boasts 11,942 such units, representing 18.24% of the total. These statistics highlight an encouraging trend of women entrepreneurs making substantial contributions to the Indian economy.
The Indian government has implemented a range of initiatives designed to boost women’s participation in entrepreneurship. Special registration drives have played a key role in formalizing women-led enterprises, while revisions to the 2018 Public Procurement Policy mandate that 3% of annual purchases by Central Ministries and Public Sector Undertakings (PSUs) must come from women entrepreneurs, thereby enhancing their market reach. Financial support is also available through schemes like the Credit Guarantee Scheme for Micro and Small Enterprises (MSEs), which offers women-led businesses a 10% concession on guarantee fees and a 90% coverage of loan amounts compared to 75% for others. Additionally, the Prime Minister Employment Generation Programme (PMEGP) provides credit-linked subsidies specifically for women entrepreneurs, offering rates of 25% in urban areas and 35% in rural areas, which are higher than the standard subsidies. Various skill development programs, such as the ‘Skill Upgradation and Mahila Coir Yojana,’ deliver essential training to women artisans, complementing efforts like the Procurement and Marketing Support Scheme that fully subsidizes women’s participation in trade fairs. Furthermore, the ‘Yashasvini Campaign,’ launched in June 2024, aims to equip women entrepreneurs with resources for business formalization, access to credit, capacity building, and mentorship.
