Microfinance is an effective tool for financial inclusion. Here are some elements of the recently embattled sector The recent controversy surrounding the microfinance sector has entirely eclipsed the fact that it is the first effort in India to have delivered financial services to remote corners of the country in a self-sustaining manner. The stakes are high for India’s poor, and we have to pave the way for orderly growth in the...

A worried government has put on fast track the proposed bill to regulate micro-lenders, as it seeks to ensure that over-regulation by states does not kill the sector that is envisaged to play a big role in furthering financial inclusion. The finance ministry could move a bill in the winter session of Parliament that will make Nabard responsible for regulation of all non-profit microfinance institutions structured as trusts, cooperatives, or mutual...

An Indian government panel has recommended that environmental clearances for a steel plant to be built by South Korean company Posco be scrapped. The $12bn plant in Orissa is India's largest foreign investment project. Critics of the project say it will exhaust iron ore Deposits in 20 years. India earlier rejected plans by mining giant Vedanta to extract bauxite in eastern Orissa state saying it would damage the local environment. A panel of India's...

Despite crores being spent in the name of conservation and Project Tiger, illegal mining activity is back in full gear in the protected area of Sariska Wildlife Sanctuary. "Rampant mining is going on at Jaisinghpura, Malana, Goverdhanpura, Palpura and Jamwa Ramgarh, in spite of the Supreme Court's 1991 order banning mining in the area. After SC's order, 215 mines were closed. But recently, some of them have restarted activity in the...

State Bank of India, the country’s largest bank, plans to scale up its rural book in keeping with its objective to increase financial inclusion. The bank plans to increase its rural lending book by 25% and its deposit base by about 28%,’’ said Jayanta K Sinha chief general manager, rural business, SBI. The bank is also in the process of teaming up with corporates, who would be Business Correspondents(BC). “In keeping...