A Review of Financial Inclusion in India: Policies, Practices, and Challenges

Abstract

A financial inclusion serves as an effective tool for addressing social issues and promoting economic development. Given the limited research on this topic in emerging economies, it is essential to examine the existing policies, practices, and challenges related to financial inclusion in India to develop innovative solutions for improvement. This study intends to evaluate the current landscape of financial inclusion in India by analyzing its policies, practices, and hurdles. The results indicate that around 44% of adults in developing nations do not have access to financial services, with only a few countries achieving notable advancements through various policies and practices. These include mobile banking offerings, compatibility with mobile money systems, enhanced local connectivity, investment in human capital development, and the digital transformation of public services aimed at fostering digital financial inclusion.