tag:blogger.com,1999:blog-19649274.post873305682882314533..comments2024-03-27T17:16:12.789+05:30Comments on The Leap Blog: Setting up the ecosystem for personal creditAjay Shahhttp://www.blogger.com/profile/03835842741008200034noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-19649274.post-54783146288840955692015-12-04T11:32:24.417+05:302015-12-04T11:32:24.417+05:30The Post says --
The CMIE household survey data sh...The Post says --<br />The CMIE household survey data shows that only 14% of households had credit outstanding in March 2014. This highlights the failure of decades of policies that have attempted to obtain financial inclusion through heavy-handed State interventions.<br /><br /><br />I don't think the statistic that only 14% of households have credit outstanding necessarily shows a failure of financial inclusion programmes. In my opinion many of the other 86% households would not have borrowed anyway even if banks were willing to lend them because the traditional Indian mindset is that of being loan-averse. There is a far greater focus on household savings in India as compared to other countries and I think Indian households (especially from the middle class) prefer to utilise their savings or even cut back on their lifestyle in difficult times rather than to borrow. The availability of state controlled banks' loans is irrelevant to this behavior in my opinion. Sagar Ghttp://saggod.blogspot.comnoreply@blogger.com