Thus, these interest rates would soon stand deregulated as long as banks ensure that the rates charged by them are reasonable and transparent. This change in policy was based on the view that financial inclusion can be viable and sustainable only if pricing is freed to cover costs even though some cross subsidisation is possible. Approach towards non-banking entities involved in financial inclusion 19.
Non-Banking entities can be either non-banking non-financial entities or nonbanking financial entities. In case of non-banking financial entities, we have had to deal with two issues. The first is the question of allowing non-deposit taking financial companies registered with the RBI, especially micro finance companies, to provide savings facilities and deposit products for their clients.