Synopsis
A recent report reveals that 90% of rural women entrepreneurs in India save a portion of their monthly income. Conducted by DBS Bank India and Haqdarshak, the survey highlights the importance of financial literacy and the need for improved access to services for these women.Key Takeaways
- 90% of rural women entrepreneurs save monthly income.
- 57% save less than 20% of their income.
- Most prefer bank deposits and SHG savings.
- Approximately 64% reinvest profits into their businesses.
- 18% make independent financial decisions.
Mumbai, March 6 (NationPress) An impressive 90% of rural women entrepreneurs in India allocate a portion of their monthly earnings towards savings, as revealed by a recent report released on Thursday, just before International Women's Day.
The study conducted by DBS Bank India, in partnership with Haqdarshak, surveyed 411 women entrepreneurs in rural areas across Madhya Pradesh, Maharashtra, and Rajasthan, with 402 of them being part of Self-Help Groups (SHGs).
Among the 90%, 57% save less than 20% of their monthly income, while 33% save between 20% and 50%. Around 5% manage to save more than 50%, while the rest are uncertain about their savings, indicating a significant need for enhanced financial literacy and planning.
The findings highlight that 56% of rural women entrepreneurs prefer bank deposits, 39% engage in SHG savings programs, and 18% keep cash without investing it. Investment in Fixed Deposits (FDs) and Recurring Deposits (RDs) are less popular, with only 11% and 5% respectively choosing these options. Notably, around 64% reinvest their business profits back into their enterprises, showing a strong focus on business growth.
“Our report provides critical insights that can guide initiatives aimed at fostering women's entrepreneurship and overcoming growth challenges,” stated Azmat Habibulla, Managing Director and Head of Group Strategic Marketing and Communications at DBS Bank India.
“We strive to stimulate meaningful conversations and develop practical solutions that close knowledge gaps, ensuring these women gain better access to social protection and financial services, thereby promoting a more equitable economy,” added Aniket Doegar, Co-Founder and CEO of Haqdarshak.
The report also indicates a shift towards greater financial independence, with 18% of rural women entrepreneurs making financial decisions on their own, while 47% collaborate with their husbands for these decisions.
Approximately 24% noted that their husbands handle all financial decisions, while the remaining 11% consult family members. This distribution reflects both advancement and the persistence of traditional norms.
