The three-year programme with a budget of euro 16 million (around Rs 117.76 crore) will focus on Karnataka, Maharashtra, Telengana and the National Capital Region.
The programme will be implemented by the United Nations Development Programme (UNDP), Xynteo and India Development Foundation (IDF).
IKEA Foundation CEO Per Heggenes said: "We believe that women can be the most important catalysts for change in their children's lives as well as in society more generally. By empowering women, we can improve children's health, education and future - and that's good for everyone in India."
The programme will address the demand and supply side of women's employment by securing commitments from businesses in identifying employment and entrepreneurship opportunities for women; mobilising women to participate in skills and training courses; and supporting the development of training curricula relevant to aspirations of women and business needs.