Perspectives on Financial Inclusion

The poorest sections of the Indian population, particularly in rural areas, do not have access to banking or insurance services. Financial inclusion is therefore an important aspect of economic policy. On the basis of international comparaisons, the author maintains that the situation is not as bad as it is made out to be and that it has to be analysed in detail. To help the poorest of the poor, their needs have to be determined ; at least some of them such as health should be covered by the State without obliging these people to turn to costly and futile funding options. In addition, the authorities and financial players must propose products which respond to the real needs of these people.