2026 · GS Paper 3 · Q2 · 10 marks
Examine the view that financial inclusion is an integral part of social and economic inclusion in a country like India. Also throw light on the usefulness of the R.B.I.'s Financial Inclusion Index. (Answer in 150 words)
In short
Financial inclusion is integral to social and economic inclusion because accounts, credit and SHG linkage give the poor and women income security and agency, and the RBI's FI-Index measures access, usage and quality to guide policy. The index rose to 70.0 in March 2026 from 67.0 in March 2025.
Model answer
Ghissu Editorial · Verified 4 Oct 2026 · 183 words
Economic inclusion
The 55.98 crore Jan Dhan accounts (PIB, 2025) carry Direct Benefit Transfers and credit to the poor, though dormant accounts show access is not inclusion.
Social inclusion
The SHG Bank Linkage Programme covers almost 10 crore households and over 84% of its groups are women-only (NABARD, 2026), building women's agency.
Beyond mere access
Launched in 2021, the index tracks 97 indicators and gives usage the largest weight (45%), rewarding active use over mere account opening.
A policy compass
Its annual 0-100 score shows progress and gaps, though it lacks a state or district breakdown.
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Inclusive Growth11 questions
Asked in 9 of 14 sittings since 2013
- 2023Distinguish between 'care economy' and 'monetized economy'. How can care economy be brought into monetized economy through women empowerment?
- 2022Is inclusive growth possible under market economy ? State the significance of financial inclusion in achieving economic growth in India.
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Question from the official UPSC Civil Services (Main) Examination 2026 paper. Answer written by Ghissu's engine and checked against our editorial standards. Found an error? Tell us and we correct it within 48 hours.