Pahal Financial Services, one of Opportunity International Australia’s local microfinance partners in India, has always had one main goal: to improve financial inclusion for women across India. With a presence in ten states and one union territory (UT), and over one million female borrowers, Pahal is not just providing loans — it is fostering economic independence, social empowerment and generational change.

Pahal is a word in Hindi which means “a new beginning”, and for so many women and their families, a small loan has been just that.

Founded over a decade ago by Ms. Purvi Bhavsar, along with Co-Founder and Managing Director Mr. Kartik S Mehta, Pahal was born from a desire to create meaningful impact beyond monetary success.  “Instead of complaining all my life, I wanted to make a small effort and see how it goes in terms of solving that problem,” says Purvi, reflecting on the organisation’s origins. Today Pahal employs 3,000 people, many of whom are women.

At the heart of Pahal’s mission is empowering women economically and socially. Purvi explains, “When a woman is more empowered, when she’s contributing not just economically but also socially, she’s respected in the society… People would ask her about her inputs, about her problems, they would also be concerned.” This respect translates into greater confidence and influence within their families and communities.

^{Purvi Bhavsar founded Pahal over a decade ago to help connect women with inclusive finance}

Pahal’s impact extends beyond individual borrowers to the next generation of girls. “We are not just catering to the empowerment of a woman, but we are also playing a huge role in readying the next generation, which is going to be much more informed, more empowered, more socially acceptable,” Purvi shares. She highlights inspiring stories of transformation: “A woman who was very scared of borrowing Rs.5,000 from us 10 years back today is very confidently borrowing 1 lakh (Rs.100,000) to fund for her daughter’s laptop to use for school.”

This growing confidence among women entrepreneurs reflects broader shifts in aspirations and opportunities. Digital access has expanded markets, enabling women to increase their businesses and working capital needs. Pahal supports these ambitions with tailored financial products and innovative initiatives like insurance schemes for healthcare and buying cattle, helping women manage risks and emergencies better.

Pahal’s organisational culture also plays a crucial role in its success, and how they’ve supported Opportunity in reaching close to 6.1 million families with small loans and training in India. “The way you treat your people is the way they will treat your customers,” Purvi emphasises. By fostering respect, dignity, and support within its team, Pahal ensures that loan officers carry those values into the communities they serve.

Opportunity’s partnership with Pahal has been vital, especially during challenging times such as demonetisation in 2016, where all Rs.500 and Rs.1,000 banknotes were no longer considered legal tender in India. Purvi expresses deep gratitude for our partnership.

“Opportunity was the first partner that we had after a very difficult year… They really valued the work that we were doing and not just gave importance to the balance sheet for that particular year.”

^{Today Opportunity serves over 6 million women in India through small loans and training}

For Purvi, leading Pahal is a source of daily inspiration and responsibility. “Reaching out to so many people is a passion… When I enter the office, I have to look very confident because 3,000 people are looking at you.” Her leadership embodies hope and resilience, driving Pahal’s ongoing mission to reach two million borrowers and transform lives.

Through this partnership, Opportunity and Pahal continue to champion financial inclusion as a powerful tool for women’s empowerment, sustainable livelihoods, and lasting social change in India.

Last year, we supported 7.5 million families across all of our local partners in Asia, helping improve access to small loans, training and support to build their businesses and leave poverty behind.

Learn more about the impact of small loans and inclusive finance.