Former SBI chairman Rajnish Kumar says women empowerment is incomplete without financial literacy

These are exciting times for women. They are seizing various educational and professional opportunities, excelling in diverse fields like space, sports, manufacturing, media, fashion, and technology, among others. Despite their achievements at work and home, one crucial aspect of their lives remains uncertain: their financial independence.

Rajnish Kumar, the former Chairman of State Bank of India, asserts that true women's empowerment encompasses financial literacy and inclusion. He emphasises that empowerment begins with women having a bank account and the knowledge to manage it.

“Women empowerment is not complete unless financial literacy, financial inclusion and capability to transact with money is there. So the starting point for women empowerment is having a bank account and the capability to operate it,” Kumar said in an interview to CNBC-TV18.

Recent data from the Association of Mutual Funds in India (AMFI) reveals a 58% increase in the number of new women investors, reaching 74,49,306 from December 2019 to December 2022. Notably, women's participation in mutual funds has surged in tier-II and tier-III cities, surpassing their counterparts in major metropolitan areas.

However, Manisha Girotra, CEO of Moelis India, highlights that financial intricacies and the juggling of multiple roles have deterred women from taking their financial independence seriously. She also attributes part of this issue to a lingering patriarchal mindset.