A Legal Analysis Of Microfinance Institutions And Financial Inclusion In India
- IJLLR Journal
- 4 days ago
- 1 min read
Priti Pragyan Pradhan, BBA LLB, Alliance University, Bengaluru
ABSTRACT
Microfinance Institutions and Banks play a Crucial role in in promoting and ensuring financial inclusion and reducing poverty by providing access to financial services to the underserved population of the country. However, despite their importance the regulatory framework and existing legal framework governing them are not sufficient and adequate to ensure transparency, accountability and consumer protection. The paper explores the penetration of MFIs and how they are ensuring financial regulations evaluating the current legal frameworks that govern them by assessing their effectiveness and provides suggestion for better governance and potential improvements. The suggestions highlight the gaps of the legal framework and the recommends how to address those issues for a better transparent, accountable and sustainable system of financial services.
Keywords: Microfinance Institutions, Banks, Legal framework, financial inclusion, underserved population
