Published on: August 18, 2021

FINANCIAL INCLUSION INDEX

FINANCIAL INCLUSION INDEX

buy Lyrica uk What is in news : The Reserve Bank of India introduced the financial inclusion index

cognitively Details:

  • The Financial Inclusion Index will be used to capture the extent of financial inclusion in India.
  • This index was part of the announcements made in first bi-monthly monetary policy of April 2021.

About Financial Inclusion Index (FI Index)

  • Financial Inclusion Index has been conceptualised as a comprehensive index comprising the details of banking, insurance, investments, postal and pension sector in consultation with government and sectoral regulators.
  • It captures information on different aspects of financial inclusion in a single value in the range of 0 and 100.
  • 0 indicates complete financial exclusion while 100 indicates complete financial inclusion.
  • It comprises of three broad parameters such as Access, Usage, and Quality. Each of these parameters comprises of various dimensions, that are computed on the basis of different indicators.
  • It is responsive to ease of access, availability & usage of services along with quality of services, comprising of all 97 indicators.
  • FI-Index has been created without any base year. It reflects cumulative efforts of all stakeholders towards financial inclusion. It will be published annually in July.