Page 3 - Financial Inclusion

Financial inclusion index rises with growth across all segments, says RBI

The Reserve Bank's FI-Index, capturing the extent of financial inclusion across the country, rose to 64.2 in March 2024, showing growth across all parameters. The index captures information on various aspects of financial inclusion in a single value ranging between 0 and 100, where 0 represents complete financial exclusion and 100 indicates full financial inclusion. "The value of the index for March 2024 stands at 64.2 vis--vis 60.1 in March 2023, with growth witnessed across all sub-indices," the Reserve Bank of India (RBI) said in a statement on Tuesday. Improvement in FI-Index is mainly contributed by usage dimension, reflecting deepening of financial inclusion, it added. The FI-Index comprises three broad parameters -- access (35 per cent), usage (45 per cent), and quality (20 per cent) -- with each of these consisting of various dimensions, which are computed based on a number of indicators. In August 2021, the central bank said FI-Index has been conceptualised as a comprehen

SLBCs can boost financial inclusion if synergy with govt improves: RBI DG

Reserve Bank Deputy Governor Swaminathan J has said State Level Bankers' Committees (SLBC) can play a more effective role in financial inclusion through better coordination with government and NGOs in credit planning and promoting digital financial literacy. Observing that the role of SLBCs in fostering inclusive and sustainable growth is crucial and multifaceted, he said, it can drive significant progress in bridging the gap between financial services and the underserved populations. "By focusing on effective coordination with government and NGOs, adopting a scientific approach to credit planning, and emphasising digital financial literacy, SLBCs can create a more inclusive financial ecosystem," he said at the Conference of Convenors of SLBCs at Pune on June 19. "As we move forward, it is essential to monitor and measure the tangible outcomes of our efforts, ensuring that the benefits of financial inclusion reach every corner of our country," he said. By tailoring initiatives to .

A model for Global South: RBI lays down goals for its 100th year

From Monetary Policy Framework review to safeguards against payment frauds & rupee internalisation, RBI lists 14 major goals

Share of North East in MF assets more than doubles to Rs 40,324 cr in 4 yrs

The share of North East in overall mutual fund assets in the country more than doubled in the last 4 years to Rs 40,324 crore in March 2024, spurred by increased awareness and growing interest among retail investors to invest in equities, a report by ICRA Analytics said. Also, this signals a growing appetite among investors from smaller towns and cities to invest in mutual funds. The combined share of Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland and Tripura rose to 0.73 per cent of the total average asset under management (AAUM) of the mutual fund industry, which stood at Rs 55.01 lakh crore in March 2024. The share was around 0.67 per cent in March 2020, when the industry's AAUM was at Rs 24.71 lakh crore. Data for Sikkim was not provided. In March 2020, these states had an asset base of Rs 16,446 crore as compared to Rs 40,324 crore in March this year. "Though the contribution of these states to the total AAUM of the industry is still small in percentage terms,

Protecting Streedhan, tailored dressing: Top personal finance stories

Our top stories this week tell you about a woman's inalienable financial right and why tailored clothes are better than readymade

Fin inclusion, digital growth to drive momentum: Airtel Payments Bank CEO

Airtel Payments Bank CEO Anubrata Biswas is optimistic that the payments bank momentum in India will yield strong growth horizons and opportunities in the coming years, supported by financial inclusion imperatives and rapid pace of economic and digital growth. In an interview to PTI, Biswas said FY24 has been a "remarkable year" for Airtel Payments Bank, which has been growing in double digits across all key metrics such as users, revenue, and profits. "We are still closing the books (for the fiscal) but as we stand today, we are going to see high double-digit growth rates on revenue, profit and users continue," he said. Airtel Payments Bank has nearly 500,000 banking points spread across the country, today. It offers end-to-end digital banking solutions, along with a bouquet of digital financial services -- insurance, lending, and investment solutions. Airtel Payments Bank has three clear segments when it comes to serving customers across geographies -- the urban digital, the rur

There is money coming in: How cash recyclers are set to get a big leg up

Going ahead, a customer can take a wad of notes to a CRM and use UPI to activate the process of depositing it rather than insert their debit card into the slot

Govt revamps pharma scheme, entails financial assistance to drug cos

The Department of Pharmaceuticals has revamped a scheme which entails financial assistance to drug companies to help them upgrade their facilities to produce medicines conforming to global standards, an official release said on Monday. As per the revamped Pharmaceuticals Technology Upgradation Assistance Scheme (PTUAS), the government has expanded the scope of the initiative beyond MSMEs to include any pharmaceutical manufacturing unit with a turnover of less than Rs 500 crore that requires technology and quality upgradation, the Chemicals and Fertilisers ministry said in a statement. Preference however remains for MSMEs, supporting smaller players in achieving high-quality manufacturing standards, it added. The revamped scheme also introduces more flexible financing options, emphasising subsidies on reimbursement basis, over traditional credit-linked approach. This flexibility is designed to diversify the financing options of the participating units, facilitating a more widesprea

Banks must give customers choice to select credit card network: RBI

Some arrangements between card networks and issuers are 'not conducive' for customers, it says

Majority of states, union territories have single-digit MF penetration

Per capita investment is less than Rs 10,000 in eight of them

What makes Indian fintech fast and furious, but also a little fraudulent?

Know-your-customer, or KYC, regulations aren't easy anywhere. But fintech adoption in India has done more than just open the floodgates to financial inclusion

Highlights of the day: Investments are inclined towards India, says FM

From Bihar govt launching a probe into Tejashwi Yadav's dept to Intel discussing financial support with US govt, catch all the latest updates from around the world

450 mn Jan Dhan accounts have accumulated Rs 2.1 trillion: Anurag Thakur

Addressing an audience of the officials and employees of the bank, the Minister at the very outset, congratulated Federal Bank for an all-time high share price

Bill for NFIR almost ready; may be introduced in next session: DEA secy

Economic Affairs Secretary Ajay Seth has said that a draft Bill for setting up a National Financial Information Registry (NFIR) is almost ready and it may be introduced in the July session. The objective is to build a public infrastructure for credit-related information and the right information can be made available by the NFIR to lending agencies. A National Financial Information Registry will serve as the central repository of financial and ancillary information. This will facilitate efficient flow of credit, promote financial inclusion, and foster financial stability. "Stakeholder consultations on the draft bill are over now and it is almost ready. We will shortly take it to the Cabinet for its approval but introduction in this session will not be possible," Seth told PTI in an interview. However, he said, the Bill may be introduced in the July session. The July session would be the first session of the 18th Lok Sabha after the general elections in the next couple of months. .

Budget 2024: Women entrepreneurs advocate inclusive policies, skilling

Women entrepreneurs and leaders highlight key areas, including healthcare, maternity benefits, education, and skill training, where more inclusive policies could be drafted in Budget 2024

For women, it's a long walk to financial inclusion

Designing financial services for women makes good business sense. Women have lower defaults, tend to save more and make timely repayments compared to men

Sikkim achieved extensive financial inclusion covering remote villages: FM

Union Finance Minister Nirmala Sitharaman on Saturday lauded the Sikkim government for helping the Himalayan state achieve extensive financial inclusion, covering remote villages and habitats. She also congratulated banks and other financial institutions for the success story in Sikkim. "Sikkim has done extremely well to set up bank branches and ATM kiosks in all six districts, covering remote villages and habitats to make the mission of financial inclusion a great success," Sitharaman said at a credit outreach programme here. The minister said there are 32 bank branches and 36 ATMs in Sikkim per one lakh population in comparison to the national average of 14. "The state capital Gangtok alone has 43 bank branches and 58 ATMs per one lakh population," she said, adding that women and youth are the biggest beneficiaries of financial inclusion in Sikkim. Sitharaman also handed certificate of loans worth Rs 402 crore to 3,828 beneficiaries under various central schemes, noting that the

Sustainable finance will foster economic growth: Deputy Guv Swaminathan J

He said that lenders need to go beyond mere compliance and must imbue the organisation's practices with sustainable finance principles in order to foster a culture of financial inclusion

Jan-Dhan scheme biggest instrument of financial inclusion: FM Sitharaman

Finance Minister Nirmala Sitharaman on Friday said the Pradhan Mantri Jan-Dhan Yojana (PMJDY), launched in 2014, has emerged as the biggest instrument of bringing financial inclusion in the country. Delivering the inaugural address at Kautilya Economic Conclave 2023, the minister said benefits under more than 50 government schemes are being directly transferred into the beneficiaries' bank accounts, and PMJDY has played an important role. She also said when the scheme was launched, a certain section of people had made "snide" remarks saying public sector banks would be under pressure as these are zero balance accounts. However, these accounts have a balance of more than Rs 2 lakh crore, Sitharaman said. In her address she also spoke elaborately on climate financing and challenges associated with it. The minister also said that multilateral institutions including Multilateral Development Banks (MDBs) have become less effective in the current global situation. Sitharaman also ...

RBI's financial inclusion index printed at 60.1% in March 2023, shows data

The FI Index was introduced in 2021 to capture the extent of financial inclusion throughout the country