India's financial inclusion index surges to 70.0 in March 2026, driven by increased usage: RBI
New Delhi, July 16
India's financial inclusion index surged to 70.0 in March 2026 from 67.0 in March 2025, as per the Reserve Bank of India's latest data on the composite Financial Inclusion Index for the fiscal year ending March 2026.
Growth occurred across all the sub-indices that make up the aggregate value. According to the RBI statement, the improvement in the FI-Index this year is mainly on account of an uptick in the Usage parameter, thereby reflecting a deepening of financial inclusion.
The Financial Inclusion Index was first introduced by the RBI in August 2021 for the financial year ending March 2021.
It was developed in consultation with key stakeholders, including the Government and sectoral regulators, to capture the extent of financial inclusion across the country in a single composite value.
The FI-Index ranges from 0 to 100, where 0 represents complete financial exclusion and 100 denotes full financial inclusion.
The index is based on three key parameters: Access (35 per cent), Usage (45 per cent), and Quality (20 per cent). These parameters consist of various dimensions and are calculated using a total of 97 indicators.
The Access parameter reflects how easily financial services are available, the Usage parameter indicates how frequently and effectively people are using these services, while the Quality parameter focuses on the quality of financial inclusion.
Quality includes aspects like financial literacy, consumer protection, and reduction in inequalities and service deficiencies.
The index also includes data from various sectors such as banking, investments, insurance, postal services, and pensions, making it a comprehensive measure of financial inclusion in the country.
With continued efforts in promoting financial literacy and strengthening the quality of services, the RBI's FI-Index showed that India is steadily moving towards more inclusive financial growth.
— ANI
Reader Comments
As a small business owner, I can see the usage parameter improving—people are actually using UPI and bank accounts now, not just opening them. But quality matters too. The RBI should focus on reducing hidden charges and improving customer service. Financial inclusion without literacy is just creating debt traps. 😕
Good progress but let's not get carried away. The index hides regional disparities—Kerala and Tamil Nadu are miles ahead of Bihar and UP. Also, many people have accounts but zero balance. The real test is whether poor families can access credit without harassment. More financial literacy camps needed in villages.
👏 Great to see insurance and pension inclusion improving too! My father in a small town now has a life insurance policy through a bank correspondent. The 97 indicators make this comprehensive. But I worry about data privacy—with so many digital footprints, we need stronger consumer protection laws.
Happy to see progress but the quality parameter (20% weight) is too low. Financial literacy is abysmal—people still fall for loan sharks and Ponzi schemes. Also, internet penetration in rural India is still patchy. Without last-mile connectivity, digital inclusion is incomplete. Good first step though.
This is encouraging but I'm skeptical. The index includes postal services and pensions—good, but how many actual poor households have benefited? My village still has no bank branch within 10 km. The government should map every unbanked village and set up banking correspondents with proper training. Numbers are fine but ground reality matters.
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.