At the Global Fintech Festival 2024, Nalin Bansal, Chief Relationship Management at the National Payments Corporation of India (NPCI), highlighted a critical challenge in digital financial inclusion. Despite significant progress, only 25% of payment users in India are women, with even lower adoption rates in semi-urban and rural areas. Bansal pointed out that many women’s mobile numbers remain unlinked to their bank accounts, impeding their access to financial services.
Bansal emphasized that while women are less prone to fraud and demonstrate high engagement and loyalty, the sector must focus on personalized and assisted services. He highlighted initiatives such as UPI123 and prepaid instruments as promising tools for enhancing women’s financial inclusion. Building trust through consistent engagement across all channels is essential, he noted.
Research indicates that women are more likely to embrace digital financial services when introduced by local agents or community influencers, especially women who can address social and technological barriers. Data shows that women who make at least five transactions within the first week of using UPI are twice as likely to continue using the service, underscoring the importance of initial support and engagement strategies.
Kalpana Ajayan, Regional Head – South Asia at Women’s World Banking, reiterated the transformative potential of digital payments for women. “Digital payments can empower women to manage their finances more effectively and access a broader range of services,” she said. Ajayan emphasized that overcoming barriers to adoption is not just about inclusion but also about positioning women as key drivers in the digital financial ecosystem.
The NPCI’s UPI platform has seen remarkable growth, with transaction values reaching INR 80.79 trillion (USD 96,287) across approximately 55.66 billion transactions in the first four months of FY 2024-25. With 37% of the 536 million women aged 15 and older in India using mobile internet, the market potential for UPI solutions among women stands at around 200 million.
