Volume : IV, Issue : V, May - 2015

TRANSFORMING RURAL INDIA THROUGH FINANCIAL DISSEMINATION

Dr Mala Sharma

Abstract :

 Financial inclusion is about oadening and deepening of financial services to the deprived and enhancing financial literacy and education among them so that they can make appropriate choices to mobilize their funds in the  main stream financial market. Levine (2004) identified that “countries with better functioning banks and financial markets grow faster” A  world Bank working paper published in 2012 indicated that 65% of adults in India had no access to bank account. For a country with 127  crores of population this figure is scary. This clearly reveals the lop–sided development of financial sector in India. The big story of the last decade to be proud of is that India has come out from low growth trap and moving successfully through financial market becoming global, introduction of financial reforms, attracting FII’s, but at the same time more than half of the population with no concept  of “bank “leads to growth with exclusion, inequality and deprivation. Hence this paper tries to study the growth of financial services developed  in rural India in last decades well as the qualitative approach they have adopted to attract rural masses for the use of these services, that is  the adaptability of financial services in rural India. Objectives: To study the growth of Institutional finance in Rural India through primary agriculture credit society (PACS). To analyze the role of Regional Rural Banks (RRB’s) and study the reasons for weakness of RRB’s as pointed out by Khusro committee. To evaluate the role of commercial banks in enhancing rural banking. To evaluate the role RBI in rural credit and policy initiative in introducing various scheme. In all the above criteria focused will be on the qualitative approach adopted by banks and Government to reach to customers. Methodology: To above all objectives will be evaluated through qualitative approach in order to analyze financial inclusion in rural areas.  The change in each will be analyzed through trend x0/x1×100 for the years (2001– 2011). The trend for the financial literacy and its impact  on increasing banking habits of rural in habitat will be analyzed from the year 2007 as the scheme of the financial literacy was introduced  in 2007 by RBI.

Keywords :

Article: Download PDF   DOI : 10.36106/ijsr  

Cite This Article:

DR MALA SHARMA vTRANSFORMING RURAL INDIA THROUGH FINANCIAL DISSEMINATION International Journal of Scientific Research, Vol : 4, Issue : 5 May 2015

Number of Downloads : 704

References :