|Financial inclusion (FI) is increasingly recognised the world over as a key driver of economic growth and poverty alleviation. It is broadly a process of connecting the society with the formal financial system known globally to have a multiplier impact on bringing about socio-economic transformation in society. Access to formal finance can boost job creation, reduce vulnerability to economic shocks and increase investment in human capital. Thus, FI is mainly intended to:
1. The genesis of FIWith the introduction of ‘social control’ on banks dating back to 1967, banks began to disseminate services to not merely to the rich and mighty urban class, but also to people at the lower strata of society to uplift their economic well-being. Banks began an arduous journey to move from ‘class banking’ to ‘mass banking’ that still continues. The momentum to connect the banking with people gained more prominence after bank nationalisation in 1969 / 1980. It was intended to hasten reach of banking services to masses, a welfare concept enunciated in the social control of banks that was strengthened further with ownership of the majority of banks passing on to the government.
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