Siliconindia Magazine

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Money Boxx Finance: Helping Small Scale Businesses Achieve their Entrepreneurial Dreams

India has had a strong GDP growth with nominal GDP per capita growing at about 10% during FY12-FY20 period, however, it has a long way to go in terms of financial inclusion. Access to banking has improved in the recent years through policy initiatives such as JanDhan accounts, but availability of credit is a challenge: only 8% of India’s population borrowed money from a formal source as per 2017 World Bank database. Rural India, which accounts for 66% of population and contributes 47% to GDP, had only 9% share in banking credit as of March 2021.In terms of borrower segments, access to credit for the borrowers at the bottom of the pyramid has improved with more than 200 lenders active in the microfinance loans (average loan of less than INR 50k) with outstanding credit at INR 2.49...