The Business Factors News Desk
New Delhi, March 5, 2025: Financial inclusion encompasses key elements such as access to the payment system, credit, insurance and investment opportunities, all of which require government policies for an effective implementation.
“To achieve the vision of developed India by 2047, we need a broad-based and inclusive financial approach as a crucial wheel for the growth of the economy and social equity,” Anita Shah Akella, CEO-IEPF Authority & Joint Secretary, Ministry of Corporate Affairs, GoI said at the 3rd National Conclave on Financial Inclusion organised by ASSOCHAM.
“The JAM (Jan Dhan, Aadhar, Mobile) Trinity has made access to banking so easy and simple for everyone, making the world take note,” she said adding: “Innovations both in the public and private sectors have driven digital financial inclusion and policy measures and initiatives have been instrumental in making the financial services more accessible.”
According to Akella, financial institutions themselves have played a crucial role in promoting inclusivity, particularly through the microfinance services that cater to the low-income population. “The expansion of the digital transaction platforms and services like the immediate payment services, IMPS and the digital wallets has made transactions more seamless, secure and cost-effective,” she said.
“Along with financial inclusion, there is a need for financial literacy, and organisations such as IEPFA, BSE, SEBI,and RBI are working to spread financial literacy to the people. Programs like ‘Niveshak Didi’ and “Niveshak Sarthi’ have been instrumental in driving financial literacy, especially among women”, she added.
Sharing his insights on financial inclusion, P R Seshadri, MD & CEO, South Indian Bank Ltd., said, “Financial inclusion begins with access, and we must applaud the stellar role played by the nationalised banking system in making access so ubiquitous. Today, the levels of access that we have in our country is significantly higher than our competitors in a similar state of being.”
According to Seshadri, interest rates in the country have moderated significantly, highlighting the difference that access makes. The banking system has made access possible, and the actions of the government of India are helping the next step, which is enablement. “The enablement process requires incremental resources, which private entities cannot perhaps bring to bear,” he said.
In his address at the conclave, Sadaf Sayeed, CEO, Muthoot Microfin Ltd., said, “India is making massive progress in the financial inclusion space and the Jan Dhan scheme is a landmark scheme with 54.94 crore beneficiaries and almost Rs 249,000 crores of deposits in Jan Dhan accounts.” He adds: “Financial inclusion is not only about extending one credit line, it is also about creating access to insurance, remittance and financial literacy.”
