Introduction to the Course 

This course deals with an overview of rural banking sector and Micro Finance in India. A sizeable population of the developing world and India are poor, with low income generating activities and highly vulnerable to the vagaries of seasons, markets, economic and political conditions. It has been universally accepted that developing financial sector and improving access to financial services accelerate economic growth and helps to achieve inclusivity.  State Bank of India was commissioned in 1955 with a major agenda of opening rural branches. Commercial, Regional Rural and Cooperative Banks and Micro-Financing Institutions, have been entrusted with the responsibility of extending liberal financing to rural population including farmers, agricultural labour, small artisans, small businessmen, self-employed youth and women on concessional terms ever since first nationalization of banks in 1969.  Setting up of specialized development financial institutions like NABARD and SIDBI supported these endeavours by implementation of several poverty alleviation programs in a planned manner.

Course Objectives

1. To understand how Rural Banking functions – its set up
   
2. To understand how micro finance function
   
3. To understand the impact of RRBs, Cooperative Banks for Micro financing in India