Will Budget 2024 'Lakhpati Didi' Target Make Rural Women Independent?

Finance Minister Nirmala Sitharaman announced during her Union Budget 2024 presentation that the government's Lakhpati Didi scheme will be targeting 1 crore more women starting this year. The target has been elevated from 2 crore women to 3 crore women, Sitharaman said. "83 lakh self-help groups with 9 crore women are transforming the rural socio-economic landscape with empowerment and self-reliance. Their success has assisted nearly 1 crore women to become Lakhpati Didis already. They are an inspiration to others. Their achievements will be recognized by honouring them," Sitharaman said before the Parliament.

The Union Budget 2024 put a strong focus on women's empowerment, particularly in the fields of workforce, healthcare and education. These schemes aim to provide women with a life of financial freedom and dignity by recognising their innate prowess across various domains. 

What Is Lakhpati Didi Scheme?

The Lakhpati Didi scheme was launched in August 2023 to encourage rural women to start microenterprises within their communities. The programme is aimed at training women from each household in self-help groups (SHGs) so that they can earn a sustainable income of at least Rs 1 lakh per annum, making them Lakhpati Didis.

With this scheme, women from SHGs are trained in various vocational skills such as drone operation, plumbing, tailoring, weaving, or LED bulb making. The scheme also helps women hone their existing skills and guides them to become entrepreneurs and earn a living. Once they become Lakhpati Didis, they train other newcomer women.

How Will New Aim For Lakhpati Didi Scheme Pan Out?

The initial target of the scheme was 2 crore Lakhpati Didis which the government has now extended by another crore, according to the Interim Budget 2024-25. According to Sitharaman, there are about 83 lakh SHGs across the country which are transforming the lives of about 9 crore women. These microfinancing groups have enabled several rural women to be one step closer to financial freedom.

At a recent rally in Uttar Pradesh, a Varanasi native Lakhpati Didi made a compelling speech about her journey to empowerment, impressing even Prime Minister Narendra Modi. The woman, Chanda Devi, said that she was able to bag an initial loan of Rs. 15,000 to initiate a vegetable farming venture.

With this, she was not only able to repay the loan but also improved her family's living conditions with an annual savings of Rs 1.3 lakhs. Like Chanda Devi, several other women have benefitted from polished skills and microfinancing. The Finance Minister said in her speech that India was able to achieve 1 crore Lakhpati Didis since the scheme's launch.

Women's participation in the workforce has long been a topic of contention within Indian society, especially in the rural community. Although several other less-addressed factors-- gender pay gap, limited female-friendly healthcare, limited child care, etc-- contribute to the low participation of women, such schemes offer a glimpse of optimism. The expanded target of 3 crore Lakhpati Didis for 2024-25 can uplift low-income families as well as women's spirits, as they gain financial freedom.