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    Question

    Which of the following factors has the highest

    weightage in RBI’s Financial Inclusion Index?
    A Access Correct Answer Incorrect Answer
    B Usage Correct Answer Incorrect Answer
    C Quantity Correct Answer Incorrect Answer
    D Quality Correct Answer Incorrect Answer
    E Reach Correct Answer Incorrect Answer

    Solution

    Ans. B The RBI conceptualised and constructed the Financial Inclusion Index (FI-Index) as a comprehensive measure that incorporates details of banking, investments, insurance, postal as well as the pension sector in consultation with the government and regulators. The FI-Index comprises of three broad parameters (weights indicated in brackets) viz., •       Access (35%), •       Usage (45%), and •       Quality (20%)   The FI-Index has been constructed without any ‘base year’ and as such it reflects cumulative efforts of all stakeholders over the years towards financial inclusion. The annual FI-Index for the period ending March 2021 is 53.9 as against 43.4 for the period ending March 2017. 

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