Lakhpati Didi initiative: How women entrepreneurs are transforming Uttar Pradesh’s economy

Women’s empowerment in Uttar Pradesh has become a measurable economic force, transforming rural women into entrepreneurs and active contributors to the state’s growth. The Lakhpati Didi initiative enables women members of Self-Help Groups (SHGs) to earn a sustainable annual household income of at least Rs 1 lakh.

More than 98 lakh women have been mobilised through 8.93 lakh SHGs, integrating them into income-generating activities. By mid-2025, approximately 11.15 lakh women self-reported as Lakhpati Didis. The government has also identified over 31 lakh women with potential to reach this income level, providing targeted skills development, access to capital, and market linkages.

SHGs as platform for rural women entrepreneurs

SHGs are the backbone of this economic transformation, offering a scalable and structured approach to entrepreneurship. Women receive direct financial support through Revolving Funds ranging from Rs 20,000 to Rs 30,000 and Community Investment Funds of up to Rs 2.50 lakh, enabling them to start micro-enterprises without relying on high-interest informal loans.

With 9.81 crore bank accounts opened under the Jan Dhan Yojana, SHGs can now access collateral-free loans of up to Rs 20 lakh, further democratizing financial inclusion and empowering women to participate fully in the formal economy.

BC Sakhi and expanding financial access

A defining feature of Uttar Pradesh’s model is the BC Sakhi program, which strengthens last-mile financial services. The state has deployed 39,561 Banking Correspondent Sakhis who provide doorstep banking services to SHG members.

These women have facilitated transactions exceeding Rs 31,626 crore while earning collective commissions of Rs 85.81 crore, creating both income opportunities and wider access to banking for rural households.

Diversified livelihoods

Lakhpati Didis are no longer limited to traditional domestic or subsistence activities. Women-led SHGs engage in agriculture and allied sectors, including seed production, horticulture, dairy, and animal husbandry.

In retail and public services, over 2,510 fair price shops are managed by SHGs, positioning women as key operators of essential community services. Technology-driven initiatives, such as the Namo Drone Didi scheme, train women to operate drones for agricultural applications, opening opportunities in high-tech service sectors.

Economic and social impact

Economic empowerment in Uttar Pradesh is reinforced by safety measures and asset ownership.

Under the Mission Shakti framework, Pink Booths in police stations and Safe City projects supported by more than 12 lakh CCTV cameras create a secure environment for women to engage in economic activities. Property rights have also been strengthened through the PM Svamitva Yojana, with over 66 lakh ownership certificates distributed, focusing on women beneficiaries.

The rise in income among Lakhpati Didis has contributed to higher rural consumption, improved nutrition, and better access to healthcare and education. A growing portion of this consumption—72.7 per cent—flows to metropolitan markets, linking rural income growth with broader economic demand.

As Uttar Pradesh targets a projected GSDP of Rs 35 lakh crore by 2025–26, women’s economic participation is central to the state’s growth strategy. The Lakhpati Didi initiative has transformed women from welfare beneficiaries into entrepreneurs and financial decision-makers, while also anchoring the vision of Viksit Uttar Pradesh.

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