77% of India’s top firms have only 1 or 2 women directors: Report on gender gap in corporates

Hyderabad: Nearly 77 per cent of India’s top companies have only one or two women on their boards, a figure that has barely shifted even in larger boards with 15 or more members.

This is among the key findings of a new report titled ‘Presence to Influence: Advancing Women in Indian Boardrooms’, released jointly by Khaitan & Co, Aon, and Ladies Who Lead.

Despite 98 per cent of BSE 200 companies now having at least one woman director, as required by the Companies Act, 2013, the report finds that progress toward meaningful participation and influence remains limited. It suggests that while representation targets have largely been met, genuine inclusion is yet to take root.

From presence to influence

The report combines board composition data from BSE 200 companies (FY 2023–24) with interviews of 40 women Independent Directors, revealing that ‘having a seat at the table doesn’t guarantee a voice at the table.’

“India’s progress is undeniable with women making up nearly one-fifth of directors in leading companies,” said Sukanya Hazarika, Director, Khaitan & Co. “Regulatory mandates from India’s Companies Act, 2013 and SEBI helped kickstart diversity, yet sustaining diversity at boards will require us to go beyond compliance. Our research shows that companies need to build a stronger leadership pipeline for women, foster an inclusive work culture and amplify women’s influence in decision-making.”

Hazarika added that the report proposes frameworks to help organisations build inclusive boards and enable women directors to strengthen their impact.

“Companies that embrace this shift are not just ticking the DEI box, they are unlocking stronger governance, innovation and long-term competitive advantage,” she said.

Leadership gaps persist

While the presence of women on boards has improved, their participation in leadership roles remains limited. Only 11 per cent of women directors in BSE 200 companies hold executive positions, compared to 65 per cent of men. The gap is even wider at the chairperson level, just 7 per cent of BSE 200 and 5 per cent of NIFTY 500 board chairpersons are women.

These roles are critical for shaping strategy and culture, and the report warns that the lack of women in such positions perpetuates a cycle of limited influence.

Even within board committees, women are underrepresented, holding 23 per cent of seats in Nomination and Remuneration (NRC) and Corporate Social Responsibility (CSR) committees, but only 14 per cent on Risk Management Committees, down from 30 per cent in 2023.

“Boardrooms are powerful spaces where key decisions are made,” said Shilpa Khanna, Associate Partner, Talent Solutions at Aon.

“While our report shows progress in increasing gender diversity on boards in India, true inclusion, through active participation and meaningful presence, is still lacking. To achieve genuine gender inclusion at the top, organisations must boldly rethink their strategies and focus on building critical mass while ensuring women’s participation is substantive and impactful.”

Networks still gatekeep opportunities

The study finds that 97 per cent of women directors relied on personal or professional networks to secure their first board role, indicating that entry pathways remain narrow and exclusionary. Without structural changes in how board talent is sourced, opportunities for capable women outside traditional circles remain limited.

Subtle biases and everyday barriers

Despite progress, one in three women directors reported facing biases, microaggressions or tokenism in boardrooms. These ranged from being dismissed in discussions to having their qualifications subtly questioned.

The report notes that women directors often demonstrate remarkable resilience, working harder than their male peers to prove their competence and earn influence in decision-making.

The CEO effect

The findings also show that companies led by women CEOs tend to perform better on-board diversity. BSE 200 firms with women CEOs average 31 per cent female board representation, nearly double the 17.7 per cent seen in male-led firms.

Yet, women CEOs make up just 6 per cent of leadership across the sample.

The data also suggests that companies with four to six women directors report higher workforce diversity and stronger gender-equity policies overall.

Towards action and accountability

“Speaking to more than 40 senior women leaders on their experiences and impact over the years, the report shares comprehensive insight into where we have seen improvement in participation, and the challenges that still need to be worked on collectively,” said Abha Bakaya, Founder & CEO, Ladies Who Lead.

“The most critical part is the action plan,” she added, “which calls for all ecosystem players to create dialogue around where we want to see change, and what actions can be taken to create lasting impact. We strongly believe this will have a positive outcome for company growth and the larger ecosystem.”

Beyond compliance

The ‘Presence to Influence’ report underscores a crucial inflexion point for India’s corporate sector. Regulatory mandates may have ensured representation, but real progress will depend on whether companies embed inclusion into their culture.

For Indian boardrooms to evolve from compliance to conviction, women must not only have a seat at the table, but also the power to shape the conversation around it