Abstract: The Government of India (GOI), the Reserve Bank of India (RBI) and National Bank for Agriculture and Rural Development have been putting concerted attempt to achieve financial inclusion as one of the essential national objective of the country, in fact many concerted efforts already made for last few decades like, bank nationalization, improving the branch network of all banks, introduction of priority sector lending, launching of Self Help Group Bank Linkage Programme, introducing PMJDY scheme, the main objectives of all these efforts is to bring financial excluded people into the mainstream of the society. In fact our twelfth five year plan approach is “Faster, Sustainable and More Inclusive Growth”,
Self-Help Group Bank Linkage Program (SHG-BLP) seems to have hit a plateau in terms of new group linkage which grew by about 8.5 per cent. The credit growth seems better with an increase of 20 per cent over the previous year. The number of groups linked at the end of March 2010 stood at 4.58 million and the amount of loans outstanding 272.66 billion. As in the case of last year, this data is provisional land likely to undergo revision. The growth rates have abated and credit disbursal is around the levels reached last year. New groups formed have not been linked to banks at the vigorous rates achieved in the last decade. There seems to be credit linkage fatigue setting in among the banks. On the other hand, the MFIs posted higher growth rates than self-help groups (SHGs) but client acquisition rates had declined to 19 per cent compared to a high of 60 per cent last year. This is despite some MFIs having doubled their client numbers. Two hundred and sixty MFIs reported 4 a total clientele of 26.7 million, which is an increase of 4.1 million over the previous. However, Microfinance is a provision of thrift, credit and other financial services and products of very small amount to the poor in rural, semi-urban or urban areas for enabling them to raise their income levels and improve living standards, main objectives of this research is to understand the Socio Economic conditions of SHG-BLP beneficiaries and to know the impact of Microfinance on financial inclusion by after and before joining into SHG-BLP.
Title: IMPACT OF MICROFINANCE ON FINANCIAL INCLUSION
Author: DR.MANOJ DOLLI , PANDURANGA R
International Journal of Interdisciplinary Research and Innovations
ISSN 2348-1218 (print), ISSN 2348-1226 (online)
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