The Reserve Bank of India on Friday unveiled the five-year (2019-24) National Strategy for Financial Inclusion to include all, particularly the poor and underprivileged class, under formal access to finance – a key goal of the government.
Currently, the Pradhan Mantri Jan Dhan Yojana (PMJDY) is the government’s financial inclusion programme, applicable to the 10-65 years age group, and aiming to expand and make affordable access to financial services such as bank accounts, remittances, credit, insurance and pensions.
Financial inclusion is increasingly being recognised as a key driver of economic growth and poverty alleviation world over.
Access to formal finance can boost job creation, reduce vulnerability to economic shocks and increase investments in human capital.
Seven of the United Nations Sustainable Development Goals (SDG) of 2030 view financial inclusion as a key enabler for achieving sustainable development worldwide.
To achieve the above objectives in a co-ordinated and time-bound manner, preparation of a National Strategy for Financial Inclusion (NSFI) is essential, the RBI said. Globally, the adoption of National Financial Inclusion Strategies (NFIS) have accelerated significantly in the past decade, it noted.
“Keeping in view the global trend, the Reserve Bank of India under the aegis of Financial Inclusion Advisory Committee (FIAC) initiated the process of formulation of National Strategy for Financial Inclusion (NSFI) for the period 2019-2024.”