International Journal of Research and Scientific Innovation (IJRSI)
The Role and Impact of Small Finance Banks in Financial Inclusion
Published October 4, 2025 • Vol. 12, Issue 9, pp. 3032–3035Open Access
DOI: 10.51244/IJRSI.2025.120800272
Abstract
Small Finance Banks (SFBs) were introduced in India in 2015 by the Reserve Bank of India (RBI) to promote financial inclusion and provide banking services to underserved and unserved populations. This paper examines the role of SFBs in enhancing financial inclusion in India, their operational challenges, and their impact on the economy. Using secondary data from RBI reports, financial statements, and case studies of prominent SFBs, the study evaluates the performance of SFBs in India. The findings indicate that SFBs have significantly contributed to financial inclusion, particularly in rural areas, but face challenges such as high operational costs and regulatory compliance. Policy recommendations are provided to address these challenges and ensure sustainable growth.
Keywords: Small Finance Banks (SFBs); Financial Inclusion; Rural Banking; Underserved Populations; Marginal Farmers.
| Journal | International Journal of Research and Scientific Innovation (IJRSI) |
|---|---|
| ISSN | 2321-2705 |
| Volume / Issue | Volume 12, Issue 9 |
| Pages | 3032–3035 |
| Publication date | October 4, 2025 |
| DOI | 10.51244/IJRSI.2025.120800272 |
| Publisher | RSIS International |
| License | Open Access |
How to cite this article
Dr. J. Jolly Vini Sheeba (2025). The Role and Impact of Small Finance Banks in Financial Inclusion. International Journal of Research and Scientific Innovation (IJRSI), 12(9), 3032-3035. https://doi.org/10.51244/IJRSI.2025.120800272
BibTeX
@article{Dr2025,
title = {The Role and Impact of Small Finance Banks in Financial Inclusion},
author = {Dr. J. Jolly Vini Sheeba},
journal = {International Journal of Research and Scientific Innovation (IJRSI)},
volume = {12},
number = {9},
pages = {3032--3035},
year = {2025},
doi = {10.51244/IJRSI.2025.120800272},
publisher = {RSIS International}
}