An Analysis of Progress and Development Towards Financial Inclusion

Dr. Raj Bihari Lal Srivastava

In this study, we examine the initiatives, problems, successes, and potential of financial inclusion in India. Globally, "financial inclusion" has become a catchphrase for all types of equitable programmes. Many organisations across the world and in India have defined financial inclusion in their own terms, but they all agree that it involves making sure that the most marginalised members of society have access to sound financial products and services in a timely, fair, and transparent manner. Since it helps stabilise the economy and provide new jobs, financial inclusion is crucial for India, which has one of the world's fastest-growing economies. To include the country's numerous unbanked and underbanked citizens, the Reserve Bank of India and the government of India have adopted a number of groundbreaking measures. However, due to its size and cultural diversity, India has unique demand and supply issues. India's march toward financial inclusion began with independence, but the recommendations of the Rangrajan Committee in 2008 prompted policy changes. Since the PMJDY program's inception in 2014, India has come quite a ways and accomplished much. Its successes are cited as an example of the positive effects of extending access to financial services. But there is still a long way to go, and we need to find a new approach that should holistically involve all stakeholders in financial inclusion. After all, the point of financial inclusion is not merely to increase the number of bank accounts but rather to improve the quality of life of the financially excluded population through the formal financial system.