Combatting poverty as well as spurring economic growth-the financial inclusion way
Sonu Kumar, Dr. A K Mishra
Financial inclusion is a great weapon to overcome the financial backwardness as well as the establishment of good governance. It broadens the resource base of the financial system by developing a culture of savings among large segment of rural population and plays an essential role in the process of economic development and furthermore, by bringing low-income groups within the parameter of formal banking system, it protects their financial wealth and other resources in difficult circumstances. Although the efforts to include the financially excluded segments of the society into formal financial system in India are not new but still the agenda is unfinished. There are lots of challenges in implementing the financial inclusion strategy which includes from both demand and supply side factors.