Jou nal o Resea ch and De elopmen
Pee Re iewed In e na ional, Open Access Jou nal.
ISSN : 2230-9578 | Websi e: h ps://j d b.o g Volume-17, Issue-9(I) | Sep - 2025
115
T ans o ma ion Th ough Financial Li e acy and Inclusion: A S udy o In o mal
Sec o Wo ke s in Kingaon Villege
D . Shashikan V. Mundhe,
Associa e P o esso in Economics, Siddha h College o Comme ce & Economics, Mumbai.
Email: shashikan mundhe@ edi mail.com
Manusc ip ID:
JRD -2025(I)-170927
ISSN: 2230-9578
Volume 17
Issue 9(I)|
Pp. 115-118
Sep . 2025
Submi ed: 9 Aug. 2025
Re ised: 20 Aug. 2025
Accep ed: 20 Sep . 2025
Published: 30 Sep . 2025
Abs ac
India is a de eloping coun y; whe e la ge numbe s o people a e s ill li ing in po e y and mos
o hem a e illi e a e. Hence, inancial li e acy is equi ed o achie ing inancial inclusion. E en oday, a
la ge numbe o u al and u ban poo ei he ha e no access o he ins i u ional inance o hey do no
know ha hey can access i . The e o e, inancial li e acy and inclusion should be gi en necessa y
a en ion. The go e nmen o India has ap ly iden i ied his and in oduced, PM Jan DhanYojana, on 28 h
Augus 2014, as a pa o i s Na ional Mission o Financial Inclusion. Nea ly nine mon hs a e he
launched he i s one, Sh i. Na end a Modi launched h ee mo e inancial inclusion schemes on 9 h May
2015, namely; P adhan Man i Su aksha Bima Yojna, P adhan Man i Jee an Jyo i Bima Yojana and A al
Pension Yojna. Now, i becomes impo an o know, whe he he inancial li e acy and inclusion has
inc eased conside ably o no . The p esen esea ch pape is a since e a emp o ind ou le el o inancial
li e acy and inclusion amongs hose poo wo ke s who ha e employed h ough he in o mal sec o . The
esea che has ca ied ou he sample su ey o 50 wo ke s, who li e in Kingaon illege, o ind ou he
le el o inancial li e acy and inclusion. The su ey indica es inc eased le el o inancial li e acy and
inclusion bu s ill he e is lo mo e ha is needed o be done.
Key Wo ds: inancial li e acy, inancial inclusion, in o mal sec o , po e y, e c.
In oduc ion:
India is a de eloping coun y; whe e la ge numbe s o people a e s ill li ing in po e y and
mos o hem a e illi e a e. Hence, inancial li e acy is equi ed o achie ing inancial inclusion.
Be ween1995 - 2022, mo e han ou lakh Indian a me s ha e commi ed suicide because o
indeb edness and non-a ailabili y o ins i u ional inance. E en oday, a la ge numbe o u al
and u ban poo ei he ha e no access o he ins i u ional inance o hey do no know ha hey
can access i . Since ecen pas he go e nmen o India is p omo ing inclusi e g ow h and
sus ainable de elopmen . He e he ocus is o inc ease pa icipa ion o maximum numbe o
people belonging o a ious sec ions o socie y. One o he ins umen s o inclusi e g ow h is
inancial inclusion, o be achie ed h ough inc eased le el o inancial li e acy and awa eness
abou banks and banking p oduc s. The e o e, inancial li e acy and inclusion needs mo e
a en ion. The go e nmen o India, unde he able leade ship o Sh i.Na end a Modi, co ec ly
iden i ied his and in oduced, PM Jan DhanYojana, on 28 h Augus 2014, as a pa o i s
Na ional Mission o Financial Inclusion. As he go e nmen has pu up lo s o e o s o
inc ease inancial li e acy and inancial inclusion, i becomes necessa y o check whe he he
expec ed le el o li e acy and inclusion has been achie ed o no .
Quick Response Code:
Websi e:
h ps://j d b.o g/
DOI:
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C ea i e Commons (CC BY-NC-SA 4.0)
This is an open access jou nal, and a icles a e dis ibu ed unde he e ms o he C ea i e Commons
A ibu ion-NonComme cial-Sha eAlike 4.0 In e na ional Public License, which allows o he s o emix,
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Add ess o co espondence:
D . Shashikan V. Mundhe,Associa e P o esso in Economics, Siddha h College o Comme ce
& Economics, Mumbai
How o ci e his a icle:
S. V. Mundhe.(2025).T ans o ma ion Th ough Financial Li e acy and Inclusion: A S udy o
In o mal Sec o Wo ke s in Kingaon Villege. Jou nal o Resea ch & De elopmen , 17(9(I)),115-
118
O iginal A icle
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ISSN : 2230-9578 | Websi e: h ps://j d b.o g Volume-17, Issue-9(I) | Sep - 2025
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This will help he go e nmen o decide u he cou se o ac ion.The p esen esea ch wo k is a since e a emp
o ind ou le el o inancial li e acy and inclusion amongs hose poo wo ke s who ha e employed h ough he
in o mal sec o . The esea che conduc ed he sample su ey o 50 wo ke s employed h ough in o mal sec o , who
li e in Kingaon illege, (Kingaon is a la ge illage loca ed in Ahmadpu Taluka o La u dis ic , Maha ash a wi h
o al 2157 amilies esiding. The Kingaon illage has popula ion o 11286 o which 5843 a e males while 5443 a e
emales as pe Popula ion Census 2011. Kingaon illage has lowe li e acy a e compa ed o Maha ash a. In 2011,
li e acy a e o Kingaon illage was 76.51 % compa ed o 82.34 % o Maha ash a. In Kingaon Male li e acy s ands a
83.89 % while emale li e acy a e was 68.70 %.), o ind ou he le el o inancial li e acy and inclusion. The
esponden s we e posed wi h ques ions ega ding hei knowledge o bank accoun s, ypes o bank accoun s, use o
bank accoun s, knowledge o and use o debi ca ds, c edi ca ds, in e ne banking and mobile banking, e c.The su ey
indica es inc eased le el o inancial li e acy and inclusion, especially a e he in oduc ion o P adhan Man i Jan
DhanYojana (PMJDY), bu s ill he go e nmen has o go a long way ahead. The esea ch pape is o ganized in o i e
pa s; namely - In oduc ion, Objec i es and Me hodology, Scope o he s udy, Analysis and ecommenda ions.
Objec i es And Resea ch Me hodology:
Objec i es:
1) To ind ou he le el o inancial li e acy among he wo ke s employed h ough in o mal sec o in Kingaon illege.
2) To know he le el o inancial inclusion among he wo ke s employed h ough in o mal sec o in Kingaon illege.
3) To unde s and ou he le el o access o/use o digi al banking among wo ke s employed h ough in o mal sec o in
Kingaon illege.
Resea ch Me hodology:
The esea che collec ed da a by conduc ing sample su ey o 50 esponden s (wo ke s employed h ough
in o mal sec o in Kingaon illage loca ed in Ahmadpu Taluka o La u dis ic , Maha ash a), using ques ionnai e
me hod. The collec ed da a is abula ed unde wo ables and analysed using desc ip i e me hod.
Scope O he S udy:
This s udy is based on sample o 50 wo ke s employed h ough in o mal sec o and who li e in Kingaon
illege loca ed in Ahmadpu Taluka o La u dis ic , Maha ash a. The small sample size is a limi a ion o his s udy.
Howe e , in he illeges like Kingaon i was no possible o ob ain mo e han 50 esponden s wi hin he c i e ia
speci ied by he s udy. This s udy can be expanded o include o he ca ego ies o people. The esea che himsel had
conduc ed simila s udy abou emale domes ic se an s om Kamo he and Naupada illege (TalukaPan el,
Dis . Raigad, Maha ash a) du ing he pe iod Dec. 2016 – Jan. 2017. The same ype o s udy could be conduc ed
in o he illages o ci ies oo. The ype o ques ions could be expanded o know abou hei membe ship o any co-
ope a i e c edi socie y o any SHGs and hei knowledge abou s ock ma ke s, mu ual unds, a ious o he inancial
ins umen s, e c. Hypo heses ha e no been included in he s udy because his is a wo king pape and esul s om his
ini ial s udy may be used o ha e a mo e ex ensi e s udy in he u u e.
Analysis O he Ques ionai e:
The go e nmen o India has in oduced se e al schemes o inc ease he le el o inancial li e acy and inclusion. The
cen al go e nmen , unde he leade ship o Sh i.Na end a Modi, has s a ed, PM Jan Dhan Yojana, P adhan Man i
Su aksha Bima Yojana, P adhan Man i Jee an Jyo i BimaYojana ( o li e insu ance) and A al Pension Yojna ( o
pension). As he go e nmen has pu up lo s o e o s o inc ease inancial li e acy and inancial inclusion, i becomes
necessa y o check whe he he expec ed le el o li e acy and inclusion has been achie ed o no . This will help he
go e nmen o decide u he cou se o ac ion.Wi h his pu pose, he esea che conduc ed he sample su ey o 50
wo ke s employed h ough in o mal sec o and who li e in Kingaon illege loca ed in Ahmadpu Taluka o La u
dis ic , Maha ash a. The esponses ga he ed ha e been colla ed and abula ed in he o m o ollowing wo ables;
Table (1): Knowledge and use o a ious bank accoun s. (May-June 2025)
BANK
ACCOUNT
TYPE OF BANK ACCOUNT
SAVINGS
FIXED
RECURRENT
JOINT
JAN
DHAN
DON’T
KNOW
KNOWLEDGE OF
50
50
03
17
25
50
NIL
USED BY SELF
43
43
03
17
25
43
-
USED BY FAMILY
07
07
Nil
NIL
NIL
07
-
Jou nal o Resea ch and De elopmen
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ISSN : 2230-9578 | Websi e: h ps://j d b.o g Volume-17, Issue-9(I) | Sep - 2025
117
Table (2): Knowledge and use o a ious bank p oduc s (May-June 2025)
DEBIT CARDS
CREDIT
CARDS
INTERNET
BANKING
KNOWLEDGE OF
50
11
41
USED BY SELF
37
NIL
27
USED BY FAMILY
13
NIL
14
The esea ch s udy has used he ques ionnai e me hod o ind ou he knowledge and he use o bank accoun s and
a ious o he bank p oduc s o acili ies. Scope o he s udy was es ic ed o he wo ke s employed h ough in o mal
sec o and who li e in Kingaon illege, hence 50 such esponden s we e in e iewed. Findings o his esea ch s udy
a e as ollows. Ou o he o al o 50 esponden s all a e ound o ha e he knowledge o banking and bank accoun s.
Bu mos o hem we e unawa e o he ypes o bank accoun . All 50 esponden s ha e he knowledge o sa ings
accoun (Bacha Kha a), 06 pe cen o hem ha e he knowledge o ixed deposi s, 34 pe cen and 50 pe cen o hem
knew abou he ecu en and join accoun s espec i ely and all (100 pe cen ) esponden s a e awa e o Jan Dhan
accoun s. A ound 86 pe cen ha e ac ually been using ei he o he bank accoun s (deposi s). In o he wo ds, all a e
ound o ha e he knowledge o banking bu when i comes o use, only 86 pe cen o hem ac ually use i on hei own
and emaining 14 pe cen use wi h he help o hei amily membe s mos ly hei li e a e child en. The pe cen age o
esponden s using sa ings, ixed, ecu en , join and Jan Dhan accoun s is ound o be a ound 86, 06, 34, 50 and 86
espec i ely. I unde lines he ac ha la ge pe cen age o people ha e ac ually been co e ed by inancial se ices and
hence he inancial inclusion has been p og essing as pe expec a ions.
The esea che has also ga he ed he da a abou he use o a ious bank accoun s o deposi s by o he amily membe s
(mos ly hei li e a e child en) o he esponden s. The da a in he able shows ha he pe cen age o o he amily
membe s using he bank accoun o deposi s comes o a ound 14. A ound 06 and 34 pe cen o esponden s a e ound
o be using ixed and ecu en deposi s on hei own wi hou he help o hei amily membe s. Nea ly 50 pe cen o
o al esponden s a e using he join accoun s along wi h hei emale pa ne s. Mos o he join accoun s a e in addi ion
o hei sa ing accoun s. They ha e mos ly using hese join accoun s o eap he bene i s o a ious go e nmen
schemes. The economy is mo ing owa d he cashless sys em. The e o e i becomes impo an o know whe he he
banking ins umen s o acili ies equi ed o cashless sys em ha e ac ually eached in he hands o people o no . The
esea che has collec ed he da a abou he knowledge and use o debi ca ds, c edi ca ds, in e ne banking and mobile
banking. Almos all he esponden s a e ound o ha e he knowledge o debi ca ds (popula ly known as ATM
ca ds).App oxima ely 22, 06 and 82 pe cen o he o al esponden s a e ound o ha e he knowledge o c edi ca ds,
in e ne banking and mobile banking espec i ely. Bu me ely knowing he ins umen o acili y does no indica e he
inancial inclusion. He e, one should check he ac ual use o he acili a o s (ins umen s) o cashless economy. Nea ly,
74 pe cen o he o al esponden s a e ound o be ac ually using he debi ca ds. Bu wi h ew excep ions, mos o
hem ha e epo ed ha hey do no equi e assis ance o use he ca ds. This highligh s he heal hy li e acy a e o male
in Kingaon illege which was a ound 83.89 pe cen as pe he census o 2011. A ound 26 pe cen o he esponden s
ha e epo ed ha he debi ca ds a e used by hei li e a e child en. Ve y ew esponden s ha e epo ed o ha e he
knowledge o C edi Ca ds bu none o hem a e ound o use hem. The e a e se e al easons o his, like; hei
income le els do no ma ch o c edi ca d acili ies o be made a ailable o hem, mos o hem a e illi e a e, e c.
In e es ingly, a ound 82 pe cen o esponden s claimed ha hey ha e he knowledge o in e ne banking and nea ly 54
pe cen o hem can use he acili y o in e ne banking (make and ecei e paymen s h ough UPI Apps) on hei own.
This is a heal hy sign o he economy d eaming o cashless ansac ions.
Recommenda ions:
Conside ing ha his s udy is indica i e o he o e all pic u e in he u al pa s o he coun y, he esea che can make
ollowing ecommenda ions:
1) Now we a e li ing in he 21s cen u y, ye a conside able numbe o people a e ound o be illi e a e. Hence,
inancial li e acy and inclusion is possible only i go e nmen implemen s li e acy p og amme u h ully.
Jou nal o Resea ch and De elopmen
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2) The banks, a leas public sec o banks, should appoin a leas one bank ep esen a i e pe bank b anch, who will
app oach he poo and illi e a e cus ome s and in oduce hem wi h he a ious bank deposi s, especially ecu en
deposi s and ixed deposi s.
3) Cus ome s isi ing he bank b anches, should be in o med abou he a ious bene i s o using debi ca ds.
Cus ome s should also be gi en some kind o aining o he use o debi ca ds.
4) Bank employees should o ganize wo kshops o aining sessions o educa e poo and illi e a e cus ome s abou
inancial auds and cybe secu i y.
5) The bank employees should wo k in wo shi s and b anches should be kep unc ional since ea ly mo ning ill la e
e ening because mos o he in o mal sec o wo ke s being daily wage ea ne s hence hey ind i di icul o isi
bank b anches du ing he day ime.
Re e ences:
1) Baluja G. (2016). Financial li e acy among women in India: A e iew. Paci ic Business Re iew In e na ional, 9(4),
82-88.
2) Ca pena F, Cole SA, Shapi o J, e al. (2011) Unpacking he causal chain o inancial li e acy. Wo ld Bank Policy
Resea ch, Wo king Pape no. 5798.
3) K.G. Ka maka , G.D. Bane jee and N.P. Mohapa a. Towa ds Financial Inclusion in India. Sage Publica ions, 2011
4) Singh B. P., Kuma i A., Sha ma T., & Malho a A. (2021). Financial Inclusion, P adhan Man i Jan Dhan Yojana
Scheme and economic g ow h: E idence om Indian S a es.
5) Depa men o Finance, Gi am Ins i u e o Managemen , Gi am Uni e si y. Financial Inclusion in India:
Challenges and S a egies. 1s ed., New Delhi: Excel Books, 2013.
6) J.M. Mohan. “Co po a e Financial Inclusion Plan in India, An inclusi e g ow h app oach- An Empi ical S udy.”
The Managemen Accoun , pp. 897, Oc . 2011.
7) h ps://www.census2011.co.in/da a/ illage/560299-kingaon-maha ash a.h ml
