90% of Rural Women Entrepreneurs Save, But Financial Planning Needs Improvement: Report Among those who save, 56% opt for bank deposits, 39% participate in SHG savings programs, and 18% keep aside cash without investing it. Investment in Fixed Deposits (FDs), Recurring Deposits (RDs), and gold remains relatively low, with only 11% and 5% using these options, respectively.

In rural India, women entrepreneurs are playing a vital role in driving economic growth. Many of them, despite facing financial barriers, have developed strong saving habits and reinvest in their businesses. A significant number of these women operate within Self-Help Groups (SHGs), leveraging collective financial support to sustain and expand their enterprises.

A recent report by DBS Bank India and Haqdarshak sheds light on the financial behaviors of rural women entrepreneurs. The study, which surveyed 411 women across Madhya Pradesh, Maharashtra, and Rajasthan, found that 90% of them save a portion of their earnings. However, the amount saved varies—57% save less than 20% of their monthly income, while 33% save between 20% and 50%. Only 5% of respondents save more than half their earnings, highlighting the need for better financial planning and literacy.

Among those who save, 56% opt for bank deposits, 39% participate in SHG savings programs, and 18% keep aside cash without investing it. Investment in Fixed Deposits (FDs), Recurring Deposits (RDs), and gold remains relatively low, with only 11% and 5% using these options, respectively. Notably, 64% of these entrepreneurs reinvest their business profits, showcasing their commitment to growth and sustainability.

Azmat Habibulla, Managing Director and Head of Group Strategic Marketing and Communications at DBS Bank India, said, "Our latest report in the 'Women and Finance' series offers valuable insights to inform programmes aimed at accelerating women's entrepreneurship and addressing growth barriers. We are proud to launch this report in collaboration with Haqdarshak, a purpose-driven organisation enhancing access to government social security schemes and inclusive financial services for this segment."

Aniket Doegar, Co-founder and CEO of Haqdarshak, added, "At Haqdarshak, we collaborate closely with rural women entrepreneurs, understanding the challenges they face — not only in accessing financial services and schemes but also in enhancing their financial literacy, skills, and confidence. Our aim is to drive meaningful dialogue and build actionable solutions that bridge knowledge gaps, ensuring these women have improved access to social protection and financial services, ultimately fostering a more equitable economy."

The report also highlights a shift toward greater financial autonomy among rural women. 18% make financial decisions independently, while 47% share decision-making responsibilities with their husbands. However, 24% still rely entirely on their husbands for financial decisions, indicating the need for further empowerment initiatives.

In terms of business funding, 36% of rural women entrepreneurs rely on personal savings, while 25% take loans. A further 29% combine savings with loans or borrow from family and friends. Notably, 43% have accessed SHG loans, while 15% have utilized government credit schemes. The findings indicate an opportunity to increase awareness and accessibility of financial resources for rural women.

Looking ahead, these entrepreneurs express a strong desire for growth. 72% seek industry and government support, 39% require help with digitization, and 35% look for business mentorship. Many also aspire to create jobs for other women in their villages, reinforcing the powerful ripple effect of women-led businesses in rural India.