World Bank Approves $150 Million Loan for TN Women Employment & Safety Program

By: WE staff | Thursday, 26 June 2025

• A loan of $150 million has been authorized by the World Bank to assist the Tamil Nadu Women Employment and Safety (WESAFE) Program
• For 1.6 million women in Tamil Nadu, the program seeks to increase female labor force participation (FLFP) and improve their access to high-quality employment

In a groundbreaking step towards economic empowerment and gender equality, the World Bank has approved a $150 million loan to fund Tamil Nadu's Women Employment and Safety (WESAFE) Program. WESAFE will extend to 1.6 million women, improving access to quality employment and increasing women's labor force participation (FLFP) in one of India's most progressive states.

Despite Tamil Nadu having one of India's highest rates of FLFP, the gender gap remains enormous at 32 percentage points. As the state works towards its $1 trillion economy goal by 2030, WESAFE addresses both economic need and social justice.

Supported by the International Bank for Reconstruction and Development (IBRD), the program focuses on skill development, entrepreneurship, safety infrastructure, and institutional reforms. It will be trained 600,000 women in growth sectors like IT, electronics, and manufacturing and shift them to formal jobs. Additionally, 18,000 women entrepreneurs will be assisted with mentoring, incubation, and finance access.

The program will expand safe hostels, crèches, and transport facilities, and introduce workplace helplines and anti-harassment policies. It will also strengthen governance through a state-level women's policy, FLFP integrated tracking systems, and strengthened regulatory frameworks for women-owned enterprises. There will be a state platform to drive financial access through public-private partnerships, augmented by awareness and literacy campaigns.

WESAFE aligns with the national initiatives of Skill India and Startup India and aligns with UN SDGs, particularly Goals 5 and 8. The 25-year loan tenor and five year grace period, as in WESAFE, make it a long-term investment, a symbol of a sustainable gender-inclusive model of development. Tamil Nadu's plan can be taken as a model by other Indian states to bridge gender gaps and stimulate equitable economic growth.