Financial Inclusion in India: Key to Holistic Economic Development

Abstract

It has been seventy years since we got freedom and all the governments from then onwards have made several frontal development efforts in all the fields including the banking and financial system. Yet, a large section of population in India in particular and world over in general is excluded from core banking services. Around 22 percent of population still remains under below poverty line and their income is less than what is required to survive. Growth with equity has always been prime objective of all policy developments. However the gap has been widening up between the rich and the poor. Financial system is that one sector where this divide is seen and the elite section of society enjoys more sophisticated banking services and products while excluding large section from their outreach. The paper penetrates into discussing current status of India with regards to financial inclusion and leading endeavors of governments in achieving this milestone.