Speeding Financial Inclusion

Scaling-up access to finance for India's rural poor presents a formidable developmental challenge in a country as vast and varied as India. Despite, it was in this context that Skoch Development Foundation undertook the first-ever nationwide multi-stakeholder study entitled "National Study on Speeding Financial Inclusion". This study sought to collate primary research based on our grassroots experiences from several project sites and field visits; and, views from all stakeholders so as to arrive at key interventions and intermediations to speed up the process of financial inclusion, and thereby poverty alleviation. The total number of no-frill accounts opened over a two-year period (April 1, 2007 to May 30, 2009) stands at 25.1 million, according to the research undertaken by Skoch Development Foundation, but only 11 per cent are operational. Apart from providing key recommendations in the form of a roadmap to speed up the process of financial inclusion, the study also sought to determine the viability and cost-effectiveness of the Business Correspondent (BC) model and has identified...