Microfinance-One of the Key Drivers of Financial Inclusion
SINHGAD INSTITUTE OF BUSINESS ADMINISTRATION AND RESEARCH
RESEARCH PAPER ON MICROFINANCE- ONE OF THE KEY DRIVERS OF FINANCIAL INCLUSION
SUBMITTED BY :- Shrawan Kumar Dwivedi shrawan.sibar@gmail.com (9595302505) Nitesh Kumar Narayan Masarrat Ali Raj
Abstract:-
Microfinance can be defined as the provision of a broad range of financial services such as deposits, loans, payment services, money transfers and insurance to poor and low-income households and their micro-enterprises.Microfinance is a powerful tool for achieving higher levels of financial inclusion in economies. Microfinance is one of the key driver which affects the financial inclusion. Increased inclusion brings both efficiency and equity benefits. Microfinance is also revealing substantial commercial opportunities and attracting growing private capital flows.
Financial Inclusion is enabling of banking services at an affordable cost to the vast sections of disadvantaged and low-income groups. As banking services are in the nature of public service, provision of banking and payment services to the entire population without discrimination should be the prime objective of the public policy.
Microfinance programmes are intended to reach poor segments of society as they lack access to financial services. It seeks to reach out to the excluded category of population from the banking system. Financial inclusion is not just credit dispensation, its about connecting the people with the banking system for availing bouquet of financial services including access to payment system.
“Only 48% of indian population is accessing financial services”(According to the World Bank 2008 survey). Expansion of the micro finance sector is also important from the perspective of financial inclusion. Since 2004 the R.B.I. has also emphasized financial inclusion as an important goal. Financial Inclusion is a most useful frame of reference for considering how poverty
RESEARCH PAPER ON MICROFINANCE- ONE OF THE KEY DRIVERS OF FINANCIAL INCLUSION
SUBMITTED BY :- Shrawan Kumar Dwivedi shrawan.sibar@gmail.com (9595302505) Nitesh Kumar Narayan Masarrat Ali Raj
Abstract:-
Microfinance can be defined as the provision of a broad range of financial services such as deposits, loans, payment services, money transfers and insurance to poor and low-income households and their micro-enterprises.Microfinance is a powerful tool for achieving higher levels of financial inclusion in economies. Microfinance is one of the key driver which affects the financial inclusion. Increased inclusion brings both efficiency and equity benefits. Microfinance is also revealing substantial commercial opportunities and attracting growing private capital flows.
Financial Inclusion is enabling of banking services at an affordable cost to the vast sections of disadvantaged and low-income groups. As banking services are in the nature of public service, provision of banking and payment services to the entire population without discrimination should be the prime objective of the public policy.
Microfinance programmes are intended to reach poor segments of society as they lack access to financial services. It seeks to reach out to the excluded category of population from the banking system. Financial inclusion is not just credit dispensation, its about connecting the people with the banking system for availing bouquet of financial services including access to payment system.
“Only 48% of indian population is accessing financial services”(According to the World Bank 2008 survey). Expansion of the micro finance sector is also important from the perspective of financial inclusion. Since 2004 the R.B.I. has also emphasized financial inclusion as an important goal. Financial Inclusion is a most useful frame of reference for considering how poverty