In a recent statement, Chandra Shekhar Ghosh, the Managing Director of Bandhan Bank, highlighted the imperative need to elevate Bharat’s per capita income to propel the country into the third-largest global economy. Despite being the fifth largest economy, the per capita income in 2022-23 stood at Rs 98,374, as per government data.
Ghosh emphasized that to achieve the ambitious goal of becoming the world’s third-largest economy or attaining a USD 5 trillion economy, a pivotal focus should be placed on increasing per capita income. This, he believes, will result in higher individual incomes, fostering increased spending and economic growth.
The Human Development Index, which considers parameters such as per capita income, education, and health, currently places India at 130th globally. Ghosh stressed the importance of elevating per capita income to improve this ranking.
Financial inclusion and access to institutional credit were identified by Ghosh as key factors contributing to per capita income improvement. The government’s initiatives, including the Pradhan Mantri Jan Dhan Yojana (PMJDY) and Pradhan Mantri Mudra Yojana, have played a significant role in this regard.
Under PMJDY, approximately 51 crore zero-balance bank accounts have been opened, with the mission launched in 2014 aiming for comprehensive financial inclusion by providing universal access to banking facilities. Pradhan Mantri Mudra Yojana, on the other hand, has facilitated collateral-free credit for the unbanked, with over 44 crore loan accounts opened and more than Rs 26.12 lakh crore sanctioned as of November 24, 2023.
Ghosh also acknowledged the role of Digital Public Infrastructure (DPI) in the growth of digital payments in the country. However, he underscored the need for digital literacy to safeguard individuals from cybercrime, emphasizing the importance of balancing technological advancements with public awareness and safety.
Comments