Banking Complaints in India: A Part of Financial literacy

Abstract

Financial Inclusion is defined as the availability of affordable financial products and services to meet the needs of individuals and businesses in a responsible and sustainable way. It supports entrepreneurship, business growth, empowers women and support in managing risks too which leads to strengthening of economic activities, boost in productivity and economic growth. Financial literacy in India is a crucial area with significant progress in financial inclusion, but we can see a determined gap in financial knowledge and awareness. Overall, India's financial literacy levels significantly behind global and developed-countries’ averages. As per National Centre for Financial Education (NCFE) survey, 2019, only 27% of Indian adults meet basic financial literacy which is lower than the global average of 42%, and far below countries like the America and Australia, which are in the 55% to 75%. India's general literacy rate is about 77%, highlighting a considerable gap with the financial literacy rate. While 82% of Indians have adopted digital payment systems, only 31% comprehend the associated risks and security measures. The India build financially empowered with the aim of taking banking beyond branches is making a success. From remote to urban areas, the wave of change can be noticed all over the country with inclusive financial system which we can see in the different financial complaints. Bank accounts, credits, pensions, insurance which was once luxury for some, is now available for all. The accessibility of financial services, products and financial literacy has been increasing day by day in India.