Urban areas too see opportunity in fin inclusion
By Vaibhav Aggarwal
Nov 7, 2011
Print    Email    RSS   

The aim of financial inclusion so far has been to reach out to unbanked rural areas of the country and offer banking facilities there. But financial inclusion also has huge scope in the urban segment too, informed a report by McKinsey & Company.

The study says that by the year 2015, there will be around 45 million urban families having annual income less than Rs 2 lakh thereby making financial inclusion a vital necessity then.

Majority of this segment would comprise of Tier I, II and III households and lending opportunity of banks would thus be around Rs 1 lakh crore by 2015 from here only.

"This would represent a healthy mix of housing loans, personal consumption loans and micro-enterprise loans." Consequently, there would also be opportunities in insurance, deposits and remittances. If the cost of acquiring new customers is kept low, financial service providers have a potential revenue opportunity of Rs 14,000 crore to Rs 15,000 crore. If banks manage to lower their cost of acquisition, they can use the savings to offset delinquencies, if any," Mr N. Seshadri, Executive Director, Bank of India quoted.


(Comments Posted : 0) Post Your Comments
Show All Comments
 Select a product:

 Select a product:

Used Car Loan Melas in India
This is how a bank lends money
12 point conduct checklist for bank and...
How good are floating rate car loans?
Affects of Car Loan Default

Lonavala Caℓℓ Girℓs 9765946980 / 9970712349...
how to got car loan statement from hdfc bank
i want to check my sbi car loan balance

SBH bank extended its Car and gold loan campaign till 31st March, 2015. Feb 11, 2015
KVGB bank signed MOU with TATA Motors Feb 10, 2015
SBH bank extended its scheme offering concession to loan defaulters Feb 2, 2015
Karnataka Bank tied up with TVS motors to Assist Auto rickshaw buyers Jan 27, 2015
RBI extended the Directions issued to Amanath Co-operative Bank for a period of six months Jan 22, 2015
News Archive