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Access to Banking Services and Poverty Reduction: A State-wise Assessment in India

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  • Amit. K. Bhandari

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Abstract

Financial inclusion is the broad based delivery of banking and other financial services at affordable cost to the poorest sections of the society. In India, financial inclusion emphasizes to include maximum number of people under formal financial systems. The present study investigates the drive to financial inclusion in the form of the growth in bank accounts of scheduled commercial banks and the changes in below poverty line population. The result suggests that the growth in bank accounts is not significantly associated with the reduction in below poverty line population across states. As a poverty reduction strategy, developing inclusive financial systems should give priority, which is financially and socially sustainable. [IZA DP no.4132]

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Bibliographic Info

Paper provided by eSocialSciences in its series Working Papers with number id:2070.

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Date of creation: Jun 2009
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Handle: RePEc:ess:wpaper:id:2070

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Keywords: India; banking; poverty; poverty reduction; financial inclusion;

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Cited by:
  1. Swamy, Vighneswara, 2010. "Bank-based Financial Intermediation for Financial Inclusion and Inclusive Growth," MPRA Paper 47510, University Library of Munich, Germany.
  2. Das, Khanindra Ch., 2009. "Access to Finance and Its Association with Development in Rural India," MPRA Paper 20033, University Library of Munich, Germany.
  3. Swamy, Vighneswara, 2011. "Does Government Intervention in Credit Deployment Cause Inclusive Growth? – An Evidence from Indian Banking," MPRA Paper 48100, University Library of Munich, Germany.
  4. Ghosh, Saibal, 2011. "Determinants of banking outreach: An empirical assessment of Indian states," MPRA Paper 38650, University Library of Munich, Germany.

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