• SHIPRA SINHA

Financial exclusion and problem of rural indebtedness Rural indebtedness is one of the serious problems of India.The prime responsibility to meet the credit needs of the rural India was of cooperative sector and later to the commercial banks.In spite of several reforms in financial sector ,the condition of rural credit could not change much.Despite different advancement in the banking sector like internet banking, online money transfers and mushrooming of ATM branches,financial exclusion is still a reality.Rural people does not have proper access to financial services and their need of rural credit has not been adequately served by them.Borrowing from the informal sources is common in rural areas.So rural indebtedness is the indicator of poor financial inclusion and strong hold of money lenders over the rural economy.Like a hereditary disease it passes on from one generation to the next generation.Rural poor generally borrow loan for two purposes i.e. produtive or unproductive.When they take loan for productive purposes, it might be possible for them to repay the loan out of their profit .On the other hand sometimes rural poor takes loan for unproductive purposes like for social obligation,it becomes difficult for them to repay the loan as well as pending interest on time and it gets converted into indebtedness.because unproductive loan does not contribute to production but instead of waste consumption and gives rise to debt .To repay the old loans they incur new debts and get stuck in the circle of indebtedness,which passes from one generation to another generation. Present study will contribute an in-depth insight into credit delivery system and financial inclusion in India.This study will evaluate the existing lacunae in the present credit delivery system and financial inclusion.This study will also endeavor to furnish both analysis and suggestions towards i.Increasing the accessibility of the credit institutions by simplifying the credit processes and procedures ii.Improving the financial inclusin of the rural population.

FINANCIAL EXCLUSION, RURAL INDEBTEDNESS, CREDIT, CREDIT INSTITUTIONS

"FINANCIAL EXCLUSION AND PROBLEM OF RURAL INDEBTEDNESS: A STUDY OF NORTH WEST INDIA", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.6, Issue 2, page no.671-683, February-2019, Available :http://www.jetir.org/papers/JETIR1902688.pdf

"FINANCIAL EXCLUSION AND PROBLEM OF RURAL INDEBTEDNESS: A STUDY OF NORTH WEST INDIA", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.6, Issue 2, page no. pp671-683, February-2019, Available at : http://www.jetir.org/papers/JETIR1902688.pdf