Financial Services and Economic Growth in India- An Overview

Indian financial services sector has been witnessing tremendous growth since a decade. The economy has been pitching up through private players like introduction of foreign banks, venture capitalists, investment institutions, mutual funds etc. all these made India a highly preferred destination for investments. Although savings contribute more than 25 percent of bank capital. Still the awareness of financial services in India is at nascent stage. This gives out scope for the vast market in mutual funds, insurance and wealth management services. More over Indian government focusing more towards domestic savings by encouraging through incentives and tax savings. All these gives out clear picture that financial services sector with clear approach can occupy major share in the Indian economy with in a near future.