A Project Report on Financial Inclusion
TABLE OF CONTENTS
CHAPTER 1: INTRODUCTION TO THE STUDY 1.1. INTRODUCTION 1.2. SIGNIFICANCE: 1.3. OBJECTIVES AND PROBLEM STATEMENT CHAPTER 2: DETAILED SURVEY OF LITERATURE 2.1. THE FINANCIAL INCLUSION IMPERATIVE 2.1.1. DEFINING AND MEASURING FINANCIAL INCLUSION 2.1.2. UNDERSTANDING THE CONSUMER 2.2. FINANCIAL INCLUSION: FROM OBLIGATION TO OPPORTUNITY 2.2.1. ROLE OF FINANCIAL INSTITUTIONS 2.2.2. ROLE OF REGULATORY AND PUBLIC POLICY AGENCIES 2.2.3. ROLE OF GOVERNMENT AGENCIES 2.2.4. ROLE OF INFORMATION TECHNOLOGY 2.2.5. ROLE OF INTER-SECTOR COLLABORATION 2.3. KEY NATIONAL FINANCIAL INCLUSION INITIATIVES 2.3.1. INITIATIVES FOR PROMOTING F.I.–PRE 2005 2.3.2. INITIATIVES FOR PROMOTING F.I.–2005 ONWARDS 2.3.3. NEW INITIATIVES: TO BE COMPLETED BY 2012 (SWABHIMAAN) 2.4. BUDGET 2011-12 / MISSION STATEMENT 2.5. FINANCIAL INCLUSION BY EXTENSION OF BANKING SERVICES - USE OF BUSINESS FACILITATORS AND CORRESPONDENTS 2.5.1. BUSINESS FACILITATOR MODEL: ELIGIBLE ENTITIES AND SCOPE OF ACTIVITIES 2.5.2. BUSINESS CORRESPONDENT MODEL 2.5.3. PAYMENT OF COMMISSION/ FEES FOR ENGAGEMENT OF BFS/BCS 2.5.4. OTHER TERMS AND CONDITIONS FOR ENGAGEMENT OF BFS /BCS 2.5.5. REDRESSAL OF GRIEVANCES IN REGARD TO SERVICES RENDERED BY BFS 2.5.6. CHALLENGES OF THE CURRENT OPERATIONAL MODELS CHAPTER 3: RESEARCH METHODOLOGY CHAPTER 4: DATA ANALYSIS AND INTERPRETATION 4.1. FINANCIAL INCLUSION- KEY MACROECONOMIC INDICATORS 4.2. INITIATIVES TAKEN BY PUBLIC AND PRIVATE SECTOR BANKS 44 45 46 46 46 47 49 51 51 58 44 3 3 3 4 5 5 6 8 12 13 16 20 22 25 27 28 34 42 43
1
FINANCIAL INCLUSION & ITS IMPACT ON INDIAN ECONOMIC GROWTH
4.2.1. SBI - BANKING FOR INDIA 4.2.2. HDFC BANK (FUTURE PERSPECTIVE) 4.2.3. ICICI BANK 4.2.4. ING VYSYA BANK 4.2.5. CANARA BANK 4.3. RESULTS OF THE SURVEY CHAPTER 5: CONCLUSIONS AND RECOMMENDATIONS 5.1. THE GAPS REMAIN 5.2. RECOMMENDATIONS BIBLOGRAPHY APPENDICES QUESTIONNAIRE FOR INDIVIDUALS QUESTIONNAIRE FOR BANK OFFICIALS
58 61 63 65 66 68 77 78 79 83 84 84 87
2
FINANCIAL
CHAPTER 1: INTRODUCTION TO THE STUDY 1.1. INTRODUCTION 1.2. SIGNIFICANCE: 1.3. OBJECTIVES AND PROBLEM STATEMENT CHAPTER 2: DETAILED SURVEY OF LITERATURE 2.1. THE FINANCIAL INCLUSION IMPERATIVE 2.1.1. DEFINING AND MEASURING FINANCIAL INCLUSION 2.1.2. UNDERSTANDING THE CONSUMER 2.2. FINANCIAL INCLUSION: FROM OBLIGATION TO OPPORTUNITY 2.2.1. ROLE OF FINANCIAL INSTITUTIONS 2.2.2. ROLE OF REGULATORY AND PUBLIC POLICY AGENCIES 2.2.3. ROLE OF GOVERNMENT AGENCIES 2.2.4. ROLE OF INFORMATION TECHNOLOGY 2.2.5. ROLE OF INTER-SECTOR COLLABORATION 2.3. KEY NATIONAL FINANCIAL INCLUSION INITIATIVES 2.3.1. INITIATIVES FOR PROMOTING F.I.–PRE 2005 2.3.2. INITIATIVES FOR PROMOTING F.I.–2005 ONWARDS 2.3.3. NEW INITIATIVES: TO BE COMPLETED BY 2012 (SWABHIMAAN) 2.4. BUDGET 2011-12 / MISSION STATEMENT 2.5. FINANCIAL INCLUSION BY EXTENSION OF BANKING SERVICES - USE OF BUSINESS FACILITATORS AND CORRESPONDENTS 2.5.1. BUSINESS FACILITATOR MODEL: ELIGIBLE ENTITIES AND SCOPE OF ACTIVITIES 2.5.2. BUSINESS CORRESPONDENT MODEL 2.5.3. PAYMENT OF COMMISSION/ FEES FOR ENGAGEMENT OF BFS/BCS 2.5.4. OTHER TERMS AND CONDITIONS FOR ENGAGEMENT OF BFS /BCS 2.5.5. REDRESSAL OF GRIEVANCES IN REGARD TO SERVICES RENDERED BY BFS 2.5.6. CHALLENGES OF THE CURRENT OPERATIONAL MODELS CHAPTER 3: RESEARCH METHODOLOGY CHAPTER 4: DATA ANALYSIS AND INTERPRETATION 4.1. FINANCIAL INCLUSION- KEY MACROECONOMIC INDICATORS 4.2. INITIATIVES TAKEN BY PUBLIC AND PRIVATE SECTOR BANKS 44 45 46 46 46 47 49 51 51 58 44 3 3 3 4 5 5 6 8 12 13 16 20 22 25 27 28 34 42 43
1
FINANCIAL INCLUSION & ITS IMPACT ON INDIAN ECONOMIC GROWTH
4.2.1. SBI - BANKING FOR INDIA 4.2.2. HDFC BANK (FUTURE PERSPECTIVE) 4.2.3. ICICI BANK 4.2.4. ING VYSYA BANK 4.2.5. CANARA BANK 4.3. RESULTS OF THE SURVEY CHAPTER 5: CONCLUSIONS AND RECOMMENDATIONS 5.1. THE GAPS REMAIN 5.2. RECOMMENDATIONS BIBLOGRAPHY APPENDICES QUESTIONNAIRE FOR INDIVIDUALS QUESTIONNAIRE FOR BANK OFFICIALS
58 61 63 65 66 68 77 78 79 83 84 84 87
2
FINANCIAL