Context:

• The Reserve Bank of India (RBI) has released the ‘National Strategy for Financial Inclusion 2025–30’ (NSFI 2025–30), approved by the Sub-Committee of the Financial Stability and Development Council (FSDC).

Key Points:

• Released by: Reserve Bank of India (RBI) after approval by the Sub-Committee of the Financial Stability and Development Council (FSDC)
• Objective: To further improve the RBI’s Financial Inclusion Index (FI-Index), which quantifies the level of financial inclusion. The strategy focuses on reliable last-mile access and effective usage of financial services. (FI-Index reached 67 in 2025, marking a 24.3% rise since 2021.)
• Duration: From 1 April 2025 to 31 March 2030

Sectors/Services Covered:

 NSFI 2025–30 aims to ensure that the following financial services and facilities reach every household, individual, and      micro/small entrepreneur:

• Savings account, payments, remittances
• Credit/loans, investment schemes
• Insurance, pensions
• Digital banking/mobile banking, digital payment tools
• Financial education, information, awareness
• Consumer protection and grievance redress mechanism

Strategic Pillars: “Panch-Jyoti” (Five Lights)

• NSFI 2025–30 focuses on five major strategic objectives collectively known as the ‘Panch-Jyoti’.
• A total of 47 Specific Action Points have been identified to achieve these goals.
• These will be implemented by regulatory bodies like RBI, SEBI, IRDAI, PFRDA and various institutions.

1. Enhancement of Financial Services

• Objective: To provide equitable, responsible, and affordable financial services to households and micro-enterprises.
• Focus: Ensuring universal access to bank accounts, transactions, payments, savings, loans, and insurance products.

2. Gender-Sensitive Inclusion

• Objective: To implement women-centric strategies and support vulnerable and marginalized groups.
• Focus: Addressing gender-based gaps in financial inclusion and ensuring that financial products meet the unique needs of women and disadvantaged communities.

3. Livelihood and Finance Linkage

• Objective: To connect skill development and livelihood programs with formal financial services.
• Focus: Ensuring that people not only access financial services but use them to enhance their livelihood and promote entrepreneurship (e.g., small loans, micro-financing).

4. Financial Education

• Objective: To promote responsible financial behavior and discipline through financial literacy.
• Focus: Educating consumers about financial products, risks, and benefits so that they can make informed decisions and avoid fraud.

5. Consumer Protection

• Objective: To strengthen consumer protection and grievance redress systems to enhance trust and accessibility.
• Focus: Building a safe and reliable environment for customers through robust complaint mechanisms and legal frameworks.

Major Implementation Points:

• Coordinated Efforts: RBI, SEBI, IRDAI, PFRDA, Ministry of Finance, and development institutions must work closely for successful implementation.
• Digital Infrastructure: Expansion and strengthening of digital public infrastructure, especially in remote areas, to ensure uninterrupted digital financial services.
• Performance Indicators: Progress will be monitored using tools like the RBI’s FI-Index, which reached 67 in 2025 (24.3% rise since 2021).

Government Initiatives Strengthening Financial Inclusion

1. Foundational Base: PM Jan Dhan Yojana (PMJDY) – 2014

• A milestone in financial inclusion aimed at connecting every citizen to the banking system.
• Over 56 crore bank accounts have been opened, helping bring rural and deprived populations into formal finance.

2. Strategic Framework: NSFI 2019–2024

• The previous NSFI (2019–24) served as an important roadmap, laying the foundation for the current NSFI 2025–30.

3. Digital Public Infrastructure: JAM Trinity

• The government created the JAM Trinity— Jan Dhan (J), Aadhaar (A), and Mobile (M)—as a unique digital public infrastructure.
• This system is essential for DBT (Direct Benefit Transfer) and seamless delivery of financial services.

4. Digital India Mission

• Strengthened digital connectivity, governance, and delivery of financial services.
• Simplified access to banking and payments even in rural regions through mobile and internet systems.

Assessment of Financial Inclusion Progress in India:

1. Surge in FI-Index

• RBI’s Financial Inclusion Index reached 67 in 2025, showing a 24.3% increase since 2021.
• Reflects significant improvement in access, usage, and quality of financial services.

2. Expansion of Jan Dhan Yojana

• Number of PMJDY beneficiaries rose to 55.98 crore, highlighting huge progress in providing banking access to all.

3. Success of Targeted Campaigns

• A special saturation campaign added 6.65 lakh new bank accounts in one month, proving that targeted efforts effectively bring the excluded population into the banking fold.

4. Global Recognition

• As per Global Findex 2025 (World Bank):

• • The percentage of adults in India with bank accounts has risen significantly since 2011, reaching 89%.
  • The number of inactive accounts has decreased, while active usage has increased substantially.