Comments on: Where are the Financially Excluded?

By: Susan

Susan — Thu, 29 Mar 2012 05:30:45 +0000

Most of us with a little bit of money don’t want to take a chance on losing what we have by investing, or need it to pay expenses because our income is not high enough to cover them. Financial services make the
results look good but the end does not justify the process for most of us.

By: Beth Rhyne

Beth Rhyne — Tue, 20 Mar 2012 16:57:06 +0000

Good point that many excluded people either think they have too little money to make it worthwhile to use formal financial services, or they find the services unattractive. The gap between access and usage is one of the core questions in this field.

By: D.S.K. Rao

D.S.K. Rao — Thu, 15 Mar 2012 05:23:56 +0000

The financially excluded in the developing countries, perhaps, did not find it imperative to be included. No income, no pension, no savings and thus no need for financial inclusion.

Countries like India spend massive amounts in providing subsidies for the poor. Delivery of these subsidies is very inefficient, resulting in less than one fourth of the intended amount reaching the poor.

The day Governments in developing countries decide to make direct payment to the poor, instead of subsidising commodities and services, the scene will change rapidly. It becomes imperative to have a bank a/c to be able to receive Govt. subsidies directly. Such accounts will also show brisk usage and will not remain accounts for the sake of accounts………