6533b837fe1ef96bd12a3186

RESEARCH PRODUCT

Why do financial inclusion policies fail in mobilizing savings from the poor ? Lessons from rural south India

Bert D'espallierIsabelle GuérinGovindan VenkatasubramanianJann GoedeckeJann Goedecke

subject

Economic growthEmancipationinformal050204 development studiesGeography Planning and DevelopmentIndiaManagement Monitoring Policy and LawDevelopmentSocial classinformal savingbankslaw.inventioneconomic anthropologypolitical economyPoliticslaw0502 economics and businessEconomics050207 economics10. No inequalityFinancial inclusion[QFIN.GN]Quantitative Finance [q-fin]/General Finance [q-fin.GN]Microfinancesaving[SHS.SOCIO]Humanities and Social Sciences/Sociology[QFIN]Quantitative Finance [q-fin]05 social sciencesCaste1. No poverty[SHS.ANTHRO-SE]Humanities and Social Sciences/Social Anthropology and ethnology[SHS.ECO]Humanities and Social Sciences/Economics and Financefinancial inclusionmicrofinance8. Economic growthEconomic anthropologyRural area

description

© The Authors 2017. Development Policy Review © 2017 Overseas Development Institute Combining multivariate and qualitative analyses, this micro-level study suggests an explanation for the persistence of informal savings in rural south India despite publicly run large-scale programmes to promote bank savings. Gold, in particular, but also Rotating Saving and Credit Associations (ROSCAs) and private lending, remain the dominant forms of savings. We argue that cultural norms and social institutions, such as social class and caste, shape the nature of savings, and also the propensity and opportunities to save. Gold serves multiple purposes, financial, economic, socio-cultural and political. Furthermore, we find that the preference of Dalits (the lowest caste) for gold illustrates a relative emancipation, which contrasts with the persistence of caste-related prohibitions preventing them investing in other assets, such as land. ispartof: Development Policy Review vol:36 pages:O201-O219 status: published

yearjournalcountryeditionlanguage
2017-03-03
http://www.documentation.ird.fr/hor/fdi:010072058