One of the key factors to inclusive growth is financial inclusion for all. Financial inclusion refers to universal access to a wide range of banking solutions and financial services in a fair, predictable and transparent manner at affordable costs. The poor tend to be ignored because the transaction costs in serving them are high. Initiatives that reduce these costs will allow service providers to begin thinking of financial services for...

The Bill governing the unique identity project is unlikely to be introduced in the budget session of parliament, as the Planning Commission needs more time to finalise its revised version.  The Unique Identity Authority of India (UIDAI) Bill, which aims to give legal status to the collection of biometric data and issue of unique identification numbers to all resident Indians, was rejected by a parliamentary committee last year.  "There are many issues...

No one will deny that the least a democratic government can do for its people in a civilised society is to ensure access to food at affordable prices. Ensuring food security is, therefore, a fundamental responsibility of the state. Public distribution system (PDS) is the instrument through which food grains are made available to targeted beneficiaries. Government's resolve to provide for food security is laudable.  At the same time, it does...

-The Business Standard   A Nandan Nilekani-led task force on an Aadhaar-enabled unified payment infrastructure has recommended setting up a network of one million interoperable micro-ATMs across the country. The ATMs will be operated by business correspondents. The task force, headed by the Chairman of Unique Identification Authority of India, submitted its report to Finance Minister Pranab Mukherjee on Thursday. The panel has suggested that in order to set-up this network quickly, a last-mile transaction...

India moved a step closer to implementing cash transfers of direct subsidies and social welfare payments after a high-level panel presented the blueprint for effecting it through an Aadhaar-based payment gateway. Accepting the report, which details how all payments and cash transfers can be made electronically, finance minister Pranab Mukherjee indicated that it will be the key to plug leakages and ensure more targeted spending under the government’s social welfare programmes. The...