In developing countries, the added dimension, and the main difference is that the focus of financial inclusion is on promoting sustainable development and generating employment for a vast majority of the population especially in the rural areas. In yesterday’s address in BANCON, Deputy Governor Dr. Rakesh Mohan has elaborately laid out the position for India and the data analysed by him speaks for itself.
Rather than repeating the figures, let’s just take a look at a few facts. In March 2005, commercial banks had 338 million savings and current accounts as against 290 million in 2000. Rural accounts went up from 172 million to 200 million – representing an increase of 28 million, while urban accounts increased by 20 million from 118 million to 138 million.