Financial inclusion in India: challenges and way forward

Abstract

In view of the success of PMJDY, a new gap clearly emerged and that is regulation of the micro and rural sector. The RBI, set up in 1934 regulates and supervises the banking system. In addition, though financial inclusion has been pursued by commercial banks for many decades, the focused approach has been missing. It may now be necessary to assign the regulation and supervision of financial inclusion to NABARD, with experience of more than four decades, with clear accountability and responsibility