Financial Inclusion Through Regional Rural Banks (RRBs) – Dream or Reality

10 Pages Posted: 13 Oct 2015

See all articles by Dr. Smriti Pathak

Dr. Smriti Pathak

Symbiosis Centre for Management Studies; Indira College of Commerce & Science

Dr. Sameera Raees

Symbiosis International University - Symbiosis Centre for Management Studies, Pune

Date Written: February 7, 2015

Abstract

“The test of our progress is not whether we add more to the abundance of those who have much; it is whether we provide enough for those who have too little.” - Franklin D. Roosevelt

Financial inclusion is stepping stone for inclusive growth. Banking sector has witnessed tremendous changes in recent period in terms of advancement in technology like internet banking, transfer money online, debit card and credit card facility etc. Still financial inclusion looks like a long unachievable dream. Regional rural Banks play a vital role in rural development of India and to spread financial inclusion. Regional Rural Banks are setup to take banking facilities to the door steps of rural households who are in need of easy and cheap credit. These are institutions which strive to turn dream into reality.

C K Prahlad focused on “Bottom of the pyramid” approach and when real India lies in villages the focus of the RRB’s is to strengthen the backbone of Indian Economy. The objective of economic planning can never be achieved unless we uplift the rural economy and rural people of India. This study is based on secondary data collected form annual reports of NABARD, RBI and other financial institutions. The study finds and concludes that Regional Rural Banks have significantly made financial inclusion a reality. The study will help researchers, academicians and policy makers to try and the reach more in-depth into the bottom of pyramid.

Keywords: Financial inclusion, Regional rural banks (RRBs), Reserve Bank of India (RBI), NABARD

JEL Classification: A, G, H, M

Suggested Citation

Pathak, Smriti and Raees, Sameera, Financial Inclusion Through Regional Rural Banks (RRBs) – Dream or Reality (February 7, 2015). Available at SSRN: https://ssrn.com/abstract=2670439 or http://dx.doi.org/10.2139/ssrn.2670439

Smriti Pathak (Contact Author)

Symbiosis Centre for Management Studies ( email )

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Sector-62, Noida 201301, Uttar Pradesh
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Indira College of Commerce & Science ( email )

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Pune, Maharashtra 411033
India

Sameera Raees

Symbiosis International University - Symbiosis Centre for Management Studies, Pune ( email )

Gram: Lavale, Tal: Mulshi
Viman nagar
Pune
India

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