Viral Acharya wants Indian banks to learn this lesson from shampoo makers

Acharya highlighted the dichotomy of India's massive economy -- Asia's third-largest -- but one where living standards are still among the lowest in the world

The solution to India’s underbanked market could be to offer small loans to the needy that can be repaid in tune with the borrower’s cash flow rather than enforcing monthly installments, Viral Acharya, a former deputy governor at the Reserve Bank of India, wrote in the Financial Times.

Highlighting the dichotomy of a massive economy -- Asia’s third-largest -- but one where living standards are still among the lowest in the world, Acharya suggested banks learn from shampoo makers who offer the product in low-cost sachets that can be bought by millions of poor people who can’t afford the entire