FINANCIAL INCLUSION IN INDIA: AN ANALYTICAL STUDY

Financial Inclusion means everybody having access to an appropriate range of financial products and services, which allows them to effectively manage their money, regardless of their level of income or social status at an affordable cost. Indian economy in general and banking services in particular, have made rapid strides in the recent past. In the process of progress of high economic growth route, there is an indispensable need the participation of all sections of society However, a sizable section of the population, particularly the vulnerable groups, such as weaker sections and low income groups, continue to remain excluded from even the most basic opportunities and services, be it opening a savings bank account or availing a loan, provided by the financial sector. And thus it is clear that Indian growth is not inclusive. The growing literature on financial inclusion has provided plenty of evidences of the merits of an inclusive financial system. However, the literature lacks a comprehensive measure that can be used to measure the extent of financial inclusion in an economy. The present study is based on secondary data and efforts are made to explore various dimensions of financial inclusion. Financial inclusion has increased in overall in India but its effectiveness is still questioned.