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Inc42 (08 Mart 2018)

A study by Mastercard Index of Women Entrepreneurs (MIWE) has ranked India 52nd out of 57 countries judged on the basis of parity for women entrepreneurs. The report highlighted that the main causes of the lack of women entrepreneurship are cultural bias, lack of access to financial services and poor social acceptance.

As India’s rank remains unchanged from last year, it falls far behind the US (4th) and China (29th), and is only ahead of Iran, Saudi Arabia, Algeria, Egypt, and Bangladesh.

The report also added that women are less inclined to business ownership due to cultural bias, and the underlying conditions for women entrepreneurship in the country are less than favourable.

It further added that women in India are more likely to discontinue their business or less likely to grow their business because of unprofitability or lack of finance.

Commenting on the report, Manasi Narasimhan, Mastercard Vice President, Marketing and Communications, said, “Learning from countries such the US and China, India needs to cultivate an environment where women have higher participation in the workforce and access to tertiary (post-secondary) education and financial services.”

The report also highlighted that the obstacles for women entrepreneurship are majorly caused due to gender biases, which lead to poor social and cultural acceptance, lack of belief in self and lack of access to funding.

Some Other Key Stats About Women Entrepreneurship

Attesting to the state of women entrepreneurship in India are key statistics on women advancement outcomes, knowledge assets and support for entrepreneurship.

The report ranked India 52nd in Women’s advancement outcomes, which indicates the degree of bias against women as workforce participants, political and business leaders, as well as the financial strength and entrepreneurial inclination of women. India ranks far behind the US (8) and China (27).

Also, India ranks 55th in knowledge assets and financial access for women entrepreneurs. By comparison, China ranks 10th and the US 16th, in terms of providing access to basic financial services, better knowledge sources to women, and better support for small and medium enterprises.

In terms of entrepreneurial conditions, India ranks 47th and China ranks 41st. On the other hand, the US ranks 11th in the ease of doing business locally, quality of local governance and cultural perception etc.

So, What Is India Doing For Women Entrepreneurship?

During a recent visit to Washington DC, NITI Aayog member Anna Roy had said that women entrepreneurs in India are bringing about a lot of development in public and private sectors.

Amid the growing spirit of entrepreneurship among women in the country, the government-run think tank had announced the launch of a dedicated women’s cell to provide them with a platform where various stakeholders can connect to give a boost to their initiatives.

In sync with Prime Minister Narendra Modi’s Make in India and Startup India initiatives, the Women Entrepreneurship Platform (WEP) aims to promote women entrepreneurship by collaborating with various partner organisations, providing industry linkages and offering partner support to women entrepreneurs. The platform also aims to increase the visibility of existing schemes, programmes and services across the government and private sectors.

The portal will be launched today on the occasion of International Women’s Day. The event will be attended by NITI Aayog Vice Chairman Rajiv Kumar; CEO, Amitabh Kant; UN Resident Coordinator in India Yuri Afanasiev and Kailash Kher, along with industry leaders and partners of WEP.

As the government continues to boost women entrepreneurship in India, the ranking of the report should work as a driving force to provide better opportunities for women entrepreneurs in the country.

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