Financial inclusion not an end in itself: Y.V. Reddy

Don’t forget lessons of global financial crisis: finance panel chief

April 20, 2016 12:00 am | Updated 05:46 am IST - Hyderabad:

EDUCATING:IRDAI Chairman T. S. Vijayan and 14th Finance Commission chief Y. V. Reddy at Insurance Awareness Day in Hyderabad on Tuesday.-Photo: K.V.S. Giri

EDUCATING:IRDAI Chairman T. S. Vijayan and 14th Finance Commission chief Y. V. Reddy at Insurance Awareness Day in Hyderabad on Tuesday.-Photo: K.V.S. Giri

Chairman of the 14th Finance Commission and former RBI Governor Y. V. Reddy on Tuesday said financial inclusion is a means and not the end for economic development and other aspects of progress.

Addressing Insurance Awareness Day, which Insurance Regulatory and Development Authority of India (IRDAI) organises to commemorate its formation, he said lessons of global financial crisis should not be forgotten.

“Financialisation in excess doses can be injurious to health,” he cautioned.

'Demarcate roles'

While financial inclusion is an important policy, it would be useful to demarcate the roles of government and the central bank towards achieving the objective, he added.

On the occasion, Dr. Reddy presented awards to winners of competitions organised as part of the day and launched consumer education material prepared by the IRDAI.

Call centre

He urged the insurance regulator to consider realigning its call centre as a query centre providing generic information round the clock in regional languages to promote financial literacy.

Insurance industry

IRDAI Chairman T.S. Vijayan, speaking to presspersons, said the insurance industry would do well in the current fiscal since the monsoon was expected to be good.

The former governor of RBI calls for demarcation roles of govt., central bank

Top News Today

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.