Financial inclusion is a priority area in the minds of policy makers in India. The larger focus of this debate has been on access to credit and insurance.
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Financial inclusion is a priority area in the minds of policy makers in India. The larger focus of this debate has been on access to credit and insurance.
One of the more debated aspects of the Mor Committee’s report on “Comprehensive Financial Services for Small Businesses and Low Income Households” is the proposal for the new class of banks, in particular the “Payments Banks”.
India faces a major financial exclusion challenge. According to the 2011 World Bank Global Findex Survey, only 35% of Indian adults have access to a formal bank account and 8% borrowed formally in the last 12 months.
In view of the rigid sectoral targets and the absence of an active trading market for PSL assets, current PSL requirements force identical strategies from all banks, with little scope for specialisation.
The Mor Committee Report offers a radical take on client protection, built around the concept of a legal right to suitability.
Since its release on January 7, it has been heartening to see the amount of debate and interest generated by the Report of the Committee on Comprehensive Financial Services, chaired by Dr. Nachiket Mor.
The Committee on Comprehensive Financial Services for Small Businesses and Low Income Households, set up by the RBI in September 2013, was mandated with the task of framing a clear and detailed vision for financial inclusion and financial deepening in India.
A few months earlier IDFC Foundation had prepared the "India Rural Development Report 2012/13" which provided a wide perspective on the rural landscape covering the Rural dynamics, Livelihoods, Inclusion, Infrastructure, Sustainability and a review of major central government rural programmes and schemes and, in particular, the flagship MGNREGA.
Our picks: 1)Appointment of Dr. Raghuram Rajan - In September Dr. Rajan took over as the 23rd governor of the Reserve Bank of India. If his opening speech is any indicator, his appointment could be one of the most important milestones for the Indian financial system.
This post is a follow-up to our earlier post where we had invited public comments on Comprehensive Financial Services. In this post we seek your thoughts on the theme of Consumer Protection.
In all our research efforts, we strive to maintain an independent voice that speaks for the low-income household and household enterprises. Our ability to perform this function is significantly enhanced by our commitment to disseminate as a pure public good, all the intellectual capital that we create.
