“The importance of finance to economic growth has also frequently been ignored by economists.”
Fed Governor, Frederick Mishkin in 2005
WHAT IS FINANCIAL INCLUSION?
We had two committees in past which give definitions of financial inclusion: Rangarajan Committee on Financial Inclusion which defines it as “the process of ensuring access to financial services and timely and adequate credit where needed by vulnerable groups such as weaker sections and low income groups at an affordable cost.”
Raghuram Rajan Committee on Financial sector Reform which described it as “Financial inclusion, broadly defined, refers to universal access to a wide range of financial services at a reasonable cost. These include not only banking products but also other financial services such as insurance and equity products.”