From Radhika Gupta to Ashima Goyal, answer is same: India's $5 tn GDP dream can't succeed without women's participation

The dominance of the services sector, a declining fertility rate, improved public infrastructure, and the inspirational role of women entrepreneurs are key factors driving increased women's participation in India's journey toward achieving the $5 trillion economic milestone.

This advice emerged from a power-packed panel at BT's Most Powerful Women in Business event in Mumbai, where experts gathered to discuss "Womenomics: Driving the USD $5 trillion dream."

Ashima Goyal, one of the three external members on the Reserve Bank of India's (RBI) six-member monetary policy committee, pointed out that the women's labour force participation rate in India is the lowest globally, standing at about 22 per cent.

Goyal underscored the potential for a significant boost in GDP and a faster achievement of the $5 trillion goal if more women join the workforce. The Emeritus Professor at the Indira Gandhi Institute of Development Research (IGIDR) also drew attention to the recent Nobel Prize awarded to economist Claudia Goldin, who studied women's participation in the US workforce.

“She postulated a U curve. Initially, during the period when manufacturing dominated in the US, women's participation went down. And as the services contribution increased, women's participation went up,” said Goyal.

Anupriya Acharya, CEO of Publicis Groupe South Asia, noted a positive trend in the decreasing total fertility rate.

Radhika Gupta, CEO of Edelweiss Asset Management, stressed the powerful impact of role modeling in encouraging women professionals and entrepreneurs, citing the success of Nykaa under founder Falguni Nayar. Gupta, a Wharton School economics graduate, emphasised the need for creating more corporate jobs for women and improving the narrative around women-led start-ups. She also highlighted the success of the Production Linked Incentive (PLI) in job creation.

Padmaja Chunduru, MD & CEO at NSDL, emphasised the importance of raising awareness about financial services not only in urban areas but also in smaller towns and cities. Chunduru noted a positive shift, with women's participation at NSDL rising from 17 per cent to 26 per cent in just two years.

Vibha Padalkar, Managing Director & CEO of HDFC Life, highlighted that decisions to buy insurance policies or investment products are often made by males in the family. She also raised concerns about infrastructure, particularly public transport, and stressed the need for an ecosystem change.

“I believe the ecosystem needs to undergo a change. There is nothing wrong with the raw material. Women, despite all handicaps, still succeed," said Padalkar.

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