Important initiatives for Financial Inclusion

Financial inclusion involves

1) Give formal banking services to poor people in urban & rural

areas.

2) Promote habit of money-savings, insurance, pension investment

among poor-people.

3) Help them get loans at reasonable rates from normal banks.

So they don’t become victims in the hands of local moneylender.

Some Important initiatives for Financial Inclusion

•  Lead banking scheme (LBS).
•  No frills account.
•  BSBDA
•  Business Correspondents (BC) system.
•  Swabhiman Campaign PMJDY

Lead Bank Scheme 

 The Lead Bank Scheme, introduced towards the end of 1969, envisages assignment of lead roles to individual banks (both

in public sector and private sector) for the districts allotted to them.

 A bank having a relatively large network of branches in the rural areas of a given district and endowed with adequate financial and manpower resources has generally been entrusted with the lead responsibility for that district.

Accordingly, all the districts in the country have been allotted to various banks.

 The lead bank acts as a leader for coordinating the efforts of all

credit institutions in the allotted districts.