Women Empowerment and Economic Growth

Summary of Key Points Related to Women's Participation and Economic Development in India:

Constitutional and Legislative Context:

• Women’s Reservation Act: The Indian government's attempt to link the implementation of this Act to the delimitation bill failed to gain Parliamentary approval.

Economic Development Projections:

• World Bank Report (2023): For India to become a developed economy by 2047, it needs to achieve a growth rate of nearly 8% annually. Increased female labor participation is seen as critical for this goal.

Labor Participation Rates:

• Female Labor Force Participation Rate (LFPR):
  • Increased from 33.9% in 2022 to 40% in 2025, but still below the global average (49%) and below comparators like Brazil (53%) and Vietnam (69%).

Findings by Researchers:

• A paper indicates that constituencies with female legislators experience better economic performance (an increase of 1.8 percentage points annually).
• Promotion of labor-intensive industries is essential to raise female LFPR, emphasizing that increased demand would significantly raise both employment opportunities and wages.

Representation in Higher Education:

• The proportion of female faculty across Indian Institutes of Technology (IITs) is stagnant around 14%. Notably, IIT-Jodhpur has the highest at 22%.
• Percentages of female faculty in Indian Institutes of Management (IIMs) vary, with IIM-Bangalore at 26% and IIM-Calcutta at 31%.
• Nationally, women in professor and equivalent positions rose from 25.9% in 2011-12 to 29.5% in 2021-22.

Business and Leadership Disparities:

• According to the 2025 Annual Survey of Unincorporated Sector Enterprises, only 27% of female-owned proprietary establishments exist.
• In leadership roles, only 13 women for every 100 men are in positions of legislators, senior officials, and managers.
• 77% of major companies have only 1-2 women directors. The mandate of having “one woman director” often leads to a minimization of women's presence on boards, which is crucial for meaningful participation in decision-making.

Governance and Corporate Context:

• The lack of women in top corporate positions reflects inadequate governance, with only 7% of BSE 200 and 5% of NSE 500 board chairpersons being women.
• To create substantive representation, research suggests that achieving a critical mass of 30% female board members is essential.

Conclusion:

The findings underscore the importance of legislative action to improve women's representation in all sectors of society. The linkage between economic growth and female participation further highlights the need for targeted policies that ensure women can contribute significantly to India’s economic development.