Promoting Sustainable Financial Inclusion In India Through Small Finance Banks

Abstract

Banks must adopt practices and strategies that value long-term, responsible access to financial services for everyone. This is called "sustainable financial inclusion." It means that everyone has long-term access to financial goods and services, with the goal of boosting economic growth, lowering poverty, and making sure that people are socially and environmentally responsible. The aim of this study is to find out how sustainable measures of financial inclusion affect the growth of small finance banks in India. It does this by using information from different RBI website sources. Achieving the goals of the sustainable financial inclusion plan will be shown by the growth of indicators such as account penetration, digital financial inclusion, and geographic reach. Lots of new accounts are being started, which means that more transactions are happening in savings, current, and term accounts. However, growth is seen more in savings and current accounts as compared to term accounts. Digital financial inclusion can positively impact sustainable financial inclusion by enhancing accessibility, and efficiency, and reducing environmental footprints. Bank branches' coverage has grown over the years. Even though there has been some progress, the government needs to keep making it easier for things to move faster. This is because achieving sustainable financial inclusion leads to more security and faster economic growth.