Financial inclusion of farmers in aspirational districts: A case of Karnataka, India

The study taken up during 2021 aimed at assessing the extent of financial inclusion and its determinants among the farmers in two aspirational districts (Raichur and Yadgir) of Karnataka and selected 30 respondents per block from two block per district making a sample size of 120. The overall extent of financial inclusion was moderate. The level of awareness of majority of the respondents on financial products and services was moderate to high, but majority of them reported difficulty in accessing them. The level of usage was found to be low, whereas satisfaction level was moderate. The determinants study revealed that age, distance to financial institute and education (Illiteracy, Primary) were negatively related to extent of financial inclusion. Operational land holding and annual income were observed to be positive and significant. Frequency of visit to financial institute was positive and significant contributor to extent of financial inclusion. The results are clear cut indication for tailored plans, polices and strategies for farmers’ financial inclusion.