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Preface

Published online by Cambridge University Press:  05 February 2012

Deepali Pant Joshi
Affiliation:
Chief General Manager, Reserve Bank of India, Mumbai
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Summary

Economic growth is a necessary but not a sufficient condition for the alleviation of poverty. Inclusive paradigms of growth are a necessity. The composition of growth is as relevant as the rate of growth. Growth in the primary sector serves to ratchet economic growth. For increasing opportunities for employment and for ensuring food security, it is necessary to focus on agricultural productivity. Economic growth with equity or distributive justice is not an either-or choice but is mutually reinforcing. High growth is necessarily linked to agricultural dynamism. Agriculture is the major employer as 65% of our people are still engaged either in direct agriculture or in activities related to agriculture. We cannot afford jobless economic growth. The poor are more vulnerable to inflation. Hence, it is necessary to ensure inflation control. To promote ready access of the poor to institutional sources of credit, financial deepening was promoted through the nationalisation of banks. Banks have been engaged in Social Banking since 1969. There is a policy space to pursue pro-poor growth. This book recognises the importance of institutional microfinance, i.e., microfinance extended by Self-help groups (SHGs) linked to banks. The SHGs generate employment opportunities; they enable the banks to locate and focus on rural or backward areas and pay attention to the endowments of the poor, i.e., labour. Economic policy must focus on provision of basic goods and services. Social capital of groups can be utilised by banks to channelise credit to the poorest of the poor. An ‘inclusive’ paradigm of development is realised in this way.

Type
Chapter
Information
Social Banking
Promise, Performance and Potential
, pp. ix - xi
Publisher: Foundation Books
Print publication year: 2006

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  • Preface
  • Deepali Pant Joshi, Chief General Manager, Reserve Bank of India, Mumbai
  • Book: Social Banking
  • Online publication: 05 February 2012
  • Chapter DOI: https://doi.org/10.1017/UPO9788175968271.002
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  • Preface
  • Deepali Pant Joshi, Chief General Manager, Reserve Bank of India, Mumbai
  • Book: Social Banking
  • Online publication: 05 February 2012
  • Chapter DOI: https://doi.org/10.1017/UPO9788175968271.002
Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

  • Preface
  • Deepali Pant Joshi, Chief General Manager, Reserve Bank of India, Mumbai
  • Book: Social Banking
  • Online publication: 05 February 2012
  • Chapter DOI: https://doi.org/10.1017/UPO9788175968271.002
Available formats
×