Women’s Gold Loan Boom: 22% Annual Surge Over the Last 5 Years!
The Indian credit market has witnessed a 22% annual increase in women borrowers between 2019 and 2024, with 4 crore new women borrowers taking loans against their gold jewelry, amounting to ₹4.7 trillion in debt.
Mumbai: The Indian credit market has witnessed a 22% annual increase in women borrowers between 2019 and 2024, with 4 crore new women borrowers taking loans against their gold jewelry, amounting to ₹4.7 trillion in debt.
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A recent CIBIL-NITI Aayog report highlights that gold loans have become the most preferred financing option for women, comprising 38% of all loans taken by women in 2024. This marks a five-fold increase in gold loan volumes since 2019.
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Young Women Leading Credit Monitoring Trends
The report also reveals a 56% year-on-year growth in young women actively monitoring their credit scores. In 2024, young women accounted for 22% of the self-monitoring credit population, indicating a shift towards greater financial awareness.
Women borrowers are not only leveraging loans against gold but are also actively tracking their credit health, demonstrating increased financial literacy and independence.
Rural & Semi-Urban Women Driving Credit Growth
The number of women accessing credit has grown at a 22% compound annual growth rate (CAGR), rising from 20 lakh in 2019 to 2.7 crore in 2024. Notably, 60% of these borrowers come from semi-urban and rural areas, showcasing an expanding financial footprint beyond metro cities.
“This trend underscores the growing financial inclusion of women across India,” the report stated.
Personal Finance Loans Also on the Rise
Aside from gold loans, women borrowers secured 4.3 crore personal finance loans worth ₹4.8 trillion in 2024. These include:
- Personal loans
- Consumer durable loans
- Home loans
- Vehicle loans
Personal finance loans now account for 42% of all loans taken by women in 2024.
Increase in Women Monitoring Credit Scores
As of December 2024, 2.7 crore women borrowers were actively tracking their credit scores—marking a 42% rise from 1.9 crore in December 2023. Women’s representation in the self-monitoring credit base increased to 19.4% in 2024, up from 17.9% in 2023.
Positive Impact on Credit Health
The report highlights that 44% of women borrowers who monitored their credit history saw an improvement in their credit scores within six months. Additionally:
