Banker on the ground: How business correspondent model is being reworked

A lot rides on the industry that employs more than two million agents who help others in opening businesses

Early signs that the business correspondent (BC) model is up for a re-haul is upon us. The Business Correspondent Federation of India (BCFI), and Grameen Foundation India (GFI) have made a pitch for “concrete capacity building” in the channel. A fortnight ago, the Business Correspondent Resource Council sought the set-up of an India Business Correspondent Equity Fund — akin to the India Microfinance Equity Fund — to the department of financial services in North Block. Both requests mark a liftoff from the C Rangarajan Committee on Financial Inclusion (January 2008): it was for funds being provided to specialised institutions which