New Delhi, March 31 The digital payment landscape in India has witnessed a significant transformation, with women rapidly closing the gap with their male counterparts in recent years, according to a Crisil report.
Between financial years 2014 and 2021, the percentage of women making or receiving digital payments has doubled from 14 per cent to 28 per cent, outpacing corresponding growth in men from 30 per cent to 41 per cent, the report states.
The report also highlights that the growth of digital payments among women is not limited to urban areas as rural women have also contributed to the trend.
The addressable market for digital payments among women in India is a staggering 200 million, with women’s mobile internet adoption increasing to 37 per cent in 2023 from 30 per cent in 2022.
The report points out that the latest Financial Inclusion Index (FI Index) prepared by the Reserve Bank of India shows the extent of financial inclusion in the country at 64.2 in March 2024, up from 60.1 in March 2023. Clearly, the financial inclusion initiatives afoot are showing results.
More importantly, women are at the forefront of the paradigm shift, as demonstrated by two other significant indicators. First, of the 53.13 crore bank accounts opened under the Pradhan Mantri Jan Dhan Yojana (PMJDY) majority (29.56 crore) are for women beneficiaries and, second, majority of women now have access to banking services, the report states.
Over the past decade or so, millions of unbanked households have moved into the financial fold and also emerged as a powerful tool for women’s empowerment.
The report further states that the remarkable growth in digital payments by women can be attributed to the increasing tech-savviness of women in India, who are embracing digital transactions with ease.
With women becoming increasingly tech-savvy, navigating the e-KYC process has become easier for them, helping them seamlessly access digital payment platforms and eventually participate in the formal financial sector, the report observes.
The increased digital connectivity has the potential to drive women towards mutual fund investing, as they become more comfortable with online transactions and seek to diversify their investment portfolios, according to the report.
As women gain access to the formal financial sector, they are likely to emerge as a significant demographic in the mutual fund market and become a key driver of growth. This, in turn, will empower women to take control of their financial decisions, invest in their future and contribute to the country’s growth, the report added.
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