In recent years, India has witnessed a high rate of economic growth, which has resulted in greater personal wealth for many Indians. However, a vast section of the society is still financially excluded, meaning it does not have access to formal financial institutions. In light of recent research that shows a strong correlation between financial exclusion and poverty and inequality, the Indian government has made financial inclusion an integral part of its planning strategy.financial inclusion is a tool provided financial products and services needed by all the sections of society and timely and adequate credit at an affordable cost. Recently financial inclusion has become a policy priority in many countries. But how do you spread a banking network to a huge number of settlements at an affordable cost? In India, an effort has been made to achieve financial inclusion by using information and communication technology through a Business Correspondent model. This article provides an overview of the model and the challenges it faces. Business correspondent model is a part of a broad financial inclusion initiative that the government launched in response to increasing inequality in India.
Financial inclusion, Business Correspondent Model, Growth, Opportunities, Challenges
