Title: Financial inclusion and financial literacy programs for low-income section in India

Authors: Purushottam Vishnu Bhandare; Samapti Guha

Addresses: Centre for Social Entrepreneurship, School of Management & Labour Studies, Tata Institute of Social Sciences (TISS), New Campus, V.N. Purav Marg, Deonar, Mumbai-400088, India ' Centre for Social Entrepreneurship, School of Management & Labour Studies, Tata Institute of Social Sciences (TISS), New Campus, V.N. Purav Marg, Deonar, Mumbai-400088, India

Abstract: Financial education is a well-received phenomenon in developing countries. Financial literacy is now envisioned as a tool for financial inclusion. This attracts the policymaker's attention to the strategic actions and adequate efforts to launch financial literacy initiatives. In India, bank-led financial literacy model is implemented by setting up Financial Literacy and Counselling Centres (FLCCs) are setup at each district. Semi-formal institutions such as microfinance institutes are also involved in financial literacy training. In this context, this study primarily focuses on exploring the financial literacy models of each of such representative institute and brings out the factors that influence the participation in the financial literacy programs by both formal and semi-formal institutions. The findings are mixed, the explanatory factors have no influence on financial behaviour. Based on the field observations and study findings, the paper highlights certain policy implications that will address low level of financial inclusion and issues regarding financial literacy programs in both the models.

Keywords: financial literacy models; financial literacy programs; low-income section.

DOI: 10.1504/IJBG.2024.139823

International Journal of Business and Globalisation, 2024 Vol.37 No.3, pp.424 - 445

Received: 18 Jan 2020
Accepted: 09 Sep 2020
Published online: 08 Jul 2024 *

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