47% of Indian women face problems in accessing credit: Tide report
Britain-based business finance platform Tide said in its report launched on Wednesday that 47 percent of women still face difficulties obtaining credit.
Tide India surveyed over 1,200 new and existing entrepreneurs in age groups of 18-55 years from Tier-II cities for the first Bharat Women Aspiration Index (BWAI).
The report further claimed that 95 percent of women said they were not aware of any existing financial schemes or government initiatives that they could use for their business.
However, the report shows that 52 percent of women entrepreneurs have access to financial credit, indicating that one in two entrepreneurs has access to finance.
Oliver Prill, Global Chief Executive Officer of Tide, said: “One of the biggest barriers to financial institutions supporting women entrepreneurs is the lack of reliable data by gender and region (particularly Tier-II cities and beyond).
The lack of awareness, data and other insights into the trends of women entrepreneurs in semi-urban and rural areas translates into a broader impact where targeted action and support, both financial and mentorship, may be lacking.”
The report shows that about 80 percent of women recognize digital literacy as an important factor, and about 51 percent, or one in two, entrepreneurs face barriers to accessing digital business tools.
Tide’s report shows that 38 percent of women believe it is easier to reach customers, while 31 percent believe that being a pioneer in the local market gives them a competitive advantage when doing business and hunting for talent.
Gurjodhpal Singh, CEO of Tide India, said: “The findings have inspired us to be a key partner in their success stories. Access to financing, mentors and digital tools for doing business are closely intertwined and interdependent. While women entrepreneurs from small towns report having access to credit, a large gap remains in their understanding of financial issues.”
First print: April 25, 2024 | 12:48 pm IST