One of the qualities the Reserve Bank of India looks for in new banking aspirants is financial inclusion - that 25 per cent of a new bank's branches should be in rural areas. So far, two microfinance institutions (MFIs)-Bandhan and Janalakshmi Financial Services-have applied for licences. However, SKS Microfinance - the only listed MFI-has chosen not to. Are MFIs, which mostly operate in rural areas, best suited for the complex world of banking? Or, as many observers ask, are they to be trusted in the wake of their unsavoury lending practices in Andhra Pradesh, which nearly capsized the sector a few years ago?..........
The very purpose of VITALINFO is to provide a platform for wider dissemination of updated information related to and happening of events in and around RBI.
No comments:
Post a Comment