320 - Politik (Political science)330 - Wirtschaft (Economics)
Rainer Hampp Verlag, München, Mering
Labor and GlobalizationVol. 6
In the drive for financial inclusion in India, cooperative banks assume prime importance as they are much more accessible to the rural poor than commercial
banks. While more accessible, cooperative banks' financial health is rather poor and,
therefore, might not be able to serve the needy in a sustained manner. A committee
led by Prof. Vaidyanathan has outlined a revival package for cooperatives. Besides
suggesting an infusion of funds, it called for the adherence to certain stringent
norms to ensure the financial viability. The recommendations provided in the
committee’s report are under various stages of implementation in India.
The book examines the progress of this reform drive in Bihar, a state in Eastern
India. It discusses the background for appointing the committee and its recommendations and also presents the findings of a field study conducted in this regard. The findings inform further policy suggestions which are of general interest to the drive for financial inclusion also in other countries.