ROLE OF BANKING SECTOR DEVELOPMENT IN INDIAN ECONOMIC GROWTH
DOI:
https://doi.org/10.65009/6q1t5n63Keywords:
Banking Sector, Economic Growth, Digital Economy, GDP Growth, Financial Inclusion, India,,Abstract
The banking sector plays a pivotal role in fostering economic growth by mobilizing
savings, facilitating investment, and ensuring efficient allocation of financial resources. In the
Indian context, the evolution of the banking system from nationalization to liberalization and
digital transformation has significantly influenced economic development. This paper
examines the relationship between banking sector development and India’s economic growth,
with particular emphasis on the digital economy and GDP growth trends. Using recent data,
the study highlights how technological advancements, financial inclusion, and credit expansion
have contributed to economic performance. The findings suggest that a robust, inclusive, and
technologically advanced banking sector is instrumental in sustaining long-term economic
growth in India.
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