BARRIERS TO FINANCIAL INCLUSION: AN ISM MICMAC ANALYSIS
Keywords:
Obstacles, Interpretive Structural Modeling (ISM), MICMAC, Financial Inclusion
Abstract
The policymakers should take a series of immediate actions to address the consequences of the Covid-19 pandemic in the path of the sustainable economy by reaching to every segment of the society to return the economy on track, financial inclusion (FI) is the only way to achieve the target. The study analyzes the obstacles in the path to achieve sustainable growth, which has been partitioned into two stages; the identification of barriers and investigation. The study has divided into three diverse stages: identification of barriers, interviews with specialists from industry, and framing an ISM model. Fifteen barriers have been identified in the achievement of goals of financial inclusion with four levels in ISM designed model. Not enough money, Lack of trust, High cost, Financial Illiteracy, Gender issues, Age factor, and Terms and conditions are factors of prime importance as they have very high driving as well as dependence power. Factors like Irregular income, Distance, and Legal identity are not showing a direct impact on other variables in the system, so these three factors may overlook by decision takers. Psychological and cultural barriers and Bank charges are very important barriers to high dependent driving power. These obstacles must require proper attention.
References
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Kumari, P., Gupta, N., & Sindhu, S. (2014). Modeling the Barriers to Rural Marketing Using the Interpretive Structural Modeling Approach, The IUP Journal of Marketing Management, 13(3), 7-30.
Mukhopadhyay, P. J. (2016). Financial Inclusion in India: A Demand-side Approach, Economic and political weekly, 51(49), 46-54.
Nath, V., Kumar, R., Agrawal, R., Gautam, A., & Sharma, V. (2014). Impediments to Adoption of Green Products: An ISM Analysis, Journal of Promotion Management, 20(5), 501-520. https://doi.org/10.1080/10496491.2014.946200
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RBI Report. (2008). Financial Inclusion, Reserve Bank of India Publication series. Retrieved from https://www.rbi.org.in/scripts/PublicationsView.aspx?id=10494
Reddy V. C. (2016). 12 Pillars' Framework for Successful Financial Inclusion in India, Indian Journal of Finance, 10(12), 27-43.
Serebrisky, T., & Cavallo, E. (2016). Saving for Development: How Latin America and the Caribbean Can Save More and Better, Palgrave Macmillan. Retrieved from https://www.econstor.eu/bitstream/10419/181953/1/978-1-349-94929-8.pdf
Sharma, B. P., & Singh, M. D. (2012). Knowledge Sharing Barriers: An Approach of Interpretive Structural Modeling, The IUP Journal of Knowledge Management, 10(3), 35-52.
Singh, A. K., Singh, M. D., & Sharma, B. P. (2013). Modeling of Knowledge Management Technologies: An ISM Approach, The IUP Journal of Knowledge Management, 11 (3), 41-55.
Talib, F., & Rahman, Z. (2015). An interpretive structural modeling for sustainable healthcare quality dimensions in-hospital services, International Journal of Qualitative Research in Services, 2(1), 28-46.
Thyagarajan, G., & Nair, J. (2016). Financial Inclusion In India – A Review, International Journal of Science Technology and Management, 5(8), 426-432.
Tripathi,R.,Yadav, N., & Shastri, R. K. (2016), Financial Inclusion in India through Pradhan Mantri Jan DhanYojana: An Empirical Analysis of Statistical Evidence, Indian Journal of Finance 10(10), 42-55.
Yunna, W., Qing, B., & Ping L. (2012). The ISM Analysis on Influence Factors of Cost Control in the Wind Power Construction Project, Physics Procedia, 24, 587-590.
Bazal, U., A & Rao, S. K. (2017). Financial Inclusion in Ethiopia. Available, International Journal of Economics and Finance, 9(4), 191-201.
Beg, S., & Mullick, H. N. (2016). Increasing Financial Inclusion Through Islamic Banking In India, International Journal of Business Management & Research, 6(1), 27-34.
Bhuvana, M., & Vasantha, S. (2016). Dimensions for Measuring Financial Inclusion in the Rural Areas of Tamil Nadu, Indian Journal of Science and Technology, 9(32), 1-8. https://doi.org/10.17485/ijst/2016/v9i32/98663
Chauhan, A. A. (2013). A study on overview of Financial Inclusion in India, Indian Journal of Applied Research, 3(12), 351-353. https://doi.org/10.15373/2249555X/DEC2013/106
Chawan, A. N., & Vasudevan, H. (2013). Modeling Knowledge Management Barriers in the Indian Manufacturing SMEs Using ISM Approach, The IUP Journal of Knowledge Management, 11(4), 36-52.
Chen, L., & Li, B. (2014). Research on the Affecting Factors of Constructor Certificate Attachment and Countermeasures Based on ISM Analysis, Conference paper presented in 2014 International Conference on Construction and Real Estate Management.
Cnaan, R. A., Moodithaya, M. S., & Handy, F. (2012). Financial inclusion: Lessons from rural South India. Journal of Social Policy, 41(1), 183-205 http://dx.doi.org/10.1017/S0047279411000377
Dalvi, V., M., & Kant, R. (2017). Modelling supplier development enablers: an integrated ISM–FMICMAC approach, International Journal of Management Science and Engineering Management, 12(2), 75-83. https://doi.org/10.1080/17509653.2017.1312581
Dara, R. N. (2016). Multidimensional Index Measures of Digital Financial Inclusion in Emerging Markets: A Case of India, International Research Journal of Marketing and Economics, 3(6), 10-29.
Dhakal, C., & Nepal, G. (2017). Microfinance Services and Poverty Level of Rural Farmers of Syangja District of Nepal. International Journal of Accounting & Finance Review, 1(1), 31-41. https://doi.org/10.46281/ijafr.v1i1.16.
Ertas, A., Smith, M. W., Tate, D., Lawson, W. D., & Baturalp, T. B. (2016). Complexity of system maintainability analysis based on the interpretive structural modeling methodology: Transdisciplinary approach. Journal of Systems Science and Systems Engineering, 25(2), 254-268. https://doi.org/10.1007/s11518-016-5310-8
Garg, S. & Agarwal, P. (2014). Financial Inclusion in India – a Review of Initiatives and Achievements, IOSR Journal of Business and Management, 16(6), 52-61.
Global Findex Report. (2014). Measuring Financial Inclusion around the World, World Bank Publication series. Retrieved from http://pubdocs.worldbank.org/en/681361466184854434/2014-Global-Findex-Report-DKSV.pdf
Gupta, D. (2015). Key Barriers Faced in Implementing Financial Inclusion, International Journal of Engineering Technology, Management and Applied Sciences, 3(1), 171-174.
Hans, B. V. (2016). Initiatives and Impact of Financial Inclusion in India, Journal of Exclusive Management Science, 5(10), 1-6.
Iheduru, N. G., & Okoro, C. U. (2018). Macroeconomic Variables and Retained Earnings of Quoted Manufacturing Firms in Nigeria: A Time Variant Study. International Journal of Accounting & Finance Review, 3(1), 33-47. https://doi.org/10.46281/ijafr.v3i1.29
ILO report. (2018). Women and Men in the Informal Economy: A Statistical Picture (third edition, Geneva): Retrieved from https://www.ilo.org/wcmsp5/groups/public/---dgreports/---dcomm/documents/publication/wcms_626831.pdf
Iqbal. A. B., & Sami, S. (2017). Role of banks in financial inclusion in India. Contaduría y Administración, 62(2), 645-656. http://dx.doi.org/10.1016/j.cya.2017.01.007
Kannan G, Devika, K., & Noorul, H. A. (2010). Analyzing supplier development criteria for an automobile industry. Industrial Management & Data Systems, 110(1), 43–62.
Khanam, S, Siddiqui, J., & Talib, F. (2015). Modeling the TQM enablers and IT resources in the ICT industry: An ISM-MICMAC approach, International Journal of Information Systems and Management (IJISAM), 1(3), 195-218.
Kumar, S., & Sharma, R. (2018). Key barriers in the growth of rural health care: an ISM-MICMAC approach, Benchmarking: An International Journal, 25(7), 2169-2183. https://doi.org/10.1108/BIJ-05-2017-0095
Kumar, S., Shukla, G.P., & Sharma, R. (2019). Analysis of key barriers in retirement planning: An approach based on interpretive structural modeling, Journal of Modelling in Management, 14(4), 972-986. https://doi.org/10.1108/JM2-09-2018-0134
Kumari, P., Gupta, N., & Sindhu, S. (2014). Modeling the Barriers to Rural Marketing Using the Interpretive Structural Modeling Approach, The IUP Journal of Marketing Management, 13(3), 7-30.
Mukhopadhyay, P. J. (2016). Financial Inclusion in India: A Demand-side Approach, Economic and political weekly, 51(49), 46-54.
Nath, V., Kumar, R., Agrawal, R., Gautam, A., & Sharma, V. (2014). Impediments to Adoption of Green Products: An ISM Analysis, Journal of Promotion Management, 20(5), 501-520. https://doi.org/10.1080/10496491.2014.946200
Panahifar, F., Heavey, C., Byrne, P., & Fazlollahtabar, H. (2015). A framework for Collaborative Planning, Forecasting, and Replenishment (CPFR) - State of the Art. Journal of Enterprise Information Management, 28(1),1-36. https://doi.org/10.1108/JEIM-09-2014-0092
RBI Report. (2008). Financial Inclusion, Reserve Bank of India Publication series. Retrieved from https://www.rbi.org.in/scripts/PublicationsView.aspx?id=10494
Reddy V. C. (2016). 12 Pillars' Framework for Successful Financial Inclusion in India, Indian Journal of Finance, 10(12), 27-43.
Serebrisky, T., & Cavallo, E. (2016). Saving for Development: How Latin America and the Caribbean Can Save More and Better, Palgrave Macmillan. Retrieved from https://www.econstor.eu/bitstream/10419/181953/1/978-1-349-94929-8.pdf
Sharma, B. P., & Singh, M. D. (2012). Knowledge Sharing Barriers: An Approach of Interpretive Structural Modeling, The IUP Journal of Knowledge Management, 10(3), 35-52.
Singh, A. K., Singh, M. D., & Sharma, B. P. (2013). Modeling of Knowledge Management Technologies: An ISM Approach, The IUP Journal of Knowledge Management, 11 (3), 41-55.
Talib, F., & Rahman, Z. (2015). An interpretive structural modeling for sustainable healthcare quality dimensions in-hospital services, International Journal of Qualitative Research in Services, 2(1), 28-46.
Thyagarajan, G., & Nair, J. (2016). Financial Inclusion In India – A Review, International Journal of Science Technology and Management, 5(8), 426-432.
Tripathi,R.,Yadav, N., & Shastri, R. K. (2016), Financial Inclusion in India through Pradhan Mantri Jan DhanYojana: An Empirical Analysis of Statistical Evidence, Indian Journal of Finance 10(10), 42-55.
Yunna, W., Qing, B., & Ping L. (2012). The ISM Analysis on Influence Factors of Cost Control in the Wind Power Construction Project, Physics Procedia, 24, 587-590.
Published
2020-12-18
How to Cite
Kumar, S., Shukla, G. P., & Dubey, R. K. D. (2020). BARRIERS TO FINANCIAL INCLUSION: AN ISM MICMAC ANALYSIS. International Journal of Accounting & Finance Review, 5(4), 74-89. https://doi.org/10.46281/ijafr.v5i4.915
Section
Research Paper/Theoretical Paper/Review Paper/Short Communication Paper
Copyright (c) 2020 Santosh Kumar, Gargi Pant Shukla, Rakesh K Dhar Dubey
This work is licensed under a Creative Commons Attribution 4.0 International License.
