FINANCIAL INCLUSION AMONG TRIBALS OF NABARANGAPUR DISTRICT OF ODISHA

Abstract

Financial inclusion simply means the process of ensuring access to formal financial products and services at an affordable cost to vulnerable groups such as the weaker sections and low income groups and unbanked sections of people of the society. Tribal peoples are the most vulnerable sections of the society and they live mostly in isolation from mainstream society. In this backdrop, the present paper has tried to assess the status of financial inclusion and financial awareness among Scheduled Tribe (ST)population in backward areas of Nabarangapur district of Odisha. Multistage purposive sampling has been used for selection of respondents. It has been observed that nearly all sample households have at least one savings bank account but access to bank and other financial institutions is very less. It appears that major portion of bank accounts has been opened to receive government benefits and other money transfer. It also appears that people are aware about banking and other financial facilities but are not using these facilities properly because of illiteracy and low level of income. It appears that majority of sample respondents are illiterate and are extremely poor. The study concludes that sample tribal HHs of the surveyed area can be said to be financially included only in terms of having savings bank account but in terms of financial awareness and use of financial facilities they are lacking behind.