An Empirical Study on Measuring Level of Financial Inclusion among Districts of Haryana

Abstract

Financial inclusion is one of the most pervasive concepts nowadays, especially in the banking sector. It simply means the involvement of every section of the society, no matter what, with the financial system of the country for basic banking services such as bank accounts, savings facilities, and credit facilities for basic needs such as health care, good education, farming needs, etc. at bare minimum cost. The financial inclusion index is a parameter to find the level of financial inclusion in a particular area such as any district, state, or country. The level of financial inclusion elaborates the scenario of banking parameters in the area where it is to be evaluated. Hence, further amendments can be made by the various banking committees to increase the state of financial inclusion in that area. Financial inclusion of each district of Haryana state has been evaluated in the study to foresee the levels i.e. high, medium, and low financial inclusion. The results showed that there is only one district viz. Gurugram has the highest level of financial inclusion. Rest all the districts lay in the medium or low level of financial inclusion which is elaborated in the results. Further, regression analysis has been analysed to see the effect of banking parameters on financial inclusion.