FINANCIAL INCLUSION FOR INCLUSIVE GROWTH OF INDIAN ECONOMY

Financial inclusion is an important step for the inclusive growth of an economy. It aims at delivering of the financial services and products to the excluded or underprivileged people in the society at affordable cost. It has an important role to eradicate the poverty from the country.  The banking sector has shown major changes after liberalisation, privatisation and globalisation. Though commercial banks work with the prime objective of earning profit yet these also play a crucial role in economic upliftment of the society as a part of their social responsibility which can be achieved by making the financial services available to all especially the underprivileged and bringing them to the mainstream. A lot of efforts have been taken in order to achieve financial inclusion in the country yet there is a long journey to go. The present study aims at exploring the indicators of financial inclusion in India. The study also attempts to find the progress made in financial inclusion in the country over a period of 5 years from 2015-16 to 2019-20. The variables used to measure the financial inclusion progress are number of ATMs, new bank branches opened, banking outlets opened in villages and Credit deposit ratio. It has been observed that there is no significant association between GDP and these indicators of financial inclusion.

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Keywords: Financial inclusion, ATMs, Credit Deposit Ratio.


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