Research Perspectives on Financial Inclusion for Inclusive Growth in India
Nandini Sil *
Shri Shikshayatan College, Calcutta University, India.
*Author to whom correspondence should be addressed.
Abstract
Financial Inclusion is the incorporation of all sections of the society under the umbrella of the formal financial sector. It is crucial in achieving inclusive growth and hence sustainable development and economic growth. Worldwide there is a clamour for achieving inclusive growth but the workings of a developed, developing, in-transition and underdeveloped country vary extensively. Hence, the policies implemented in one does not work efficiently in other. This paper analyses the impact of financial inclusion on inclusive growth in India through two subgroups- the demand side indicators of financial inclusion and the supply side indicators of financial inclusion for the period 2010 to 2017. Here, observations are made that the supply side indicators directly influence four out of five sectors contributing to inclusive growth whereas the demand side indicators have a mixed impact on those sectors. Finally, a few recommendations for the further achievement of inclusive growth through financial inclusion are discussed.
Keywords: Financial inclusion, inclusive growth, sustainable development, economic growth, demand, supply.