are encouraging. as at the end of march 2015, the banking outlets in villages in branchless mode, which is primarily through bcs were 5, 04, 139 and the urban bcs were 96, 847. the bsbd accounts were 398 million and the balance in them was ₹ 438. 3 billion. the prime minister ’ s jan dhan yojana has given a special fillip to these. 8. a parallel development relates to the issuance of aadhaar cards and ceding the cards to bank accounts. it is reported that more than 817. 8 aadhaar numbers have been issued by april 2015 and the number is still increasing. of course, it is another matter that the recent supreme court interim judgment has put the scheme in a tight corner and we hope that it will soon be resolved. bis central bankers ’ speeches 9. next element is the use of mobile technology. the great expanse of mobile coverage, the number of people having the handsets, the mobile banking products and services are all at a critical point for high leveraging to usher in financial inclusion and inclusive growth. financial inclusion and disruptive innovations in regulation 10. now, let me present before you some of the disruptive innovations through regulation with the ultimate goal of furthering inclusive growth. these innovative initiatives, under the caption of differentiated banks, are primarily to further financial inclusion, which is an integral part of inclusive growth strategies. differentiated banks 11. the concept of differentiated banks was first discussed in 2007 ; but it was felt that the time was not yet opportune for such banks. thereafter, the concept was once again discussed in a paper “ banking structure in india – the way forward ”, brought out by the reserve bank in august 2013. the paper looked into various aspects of the banking structure, licensing of banks, banking models and suggested a transition path for some banks. 12. in that paper, we had noted that despite significant progress, one aspect of banking in india that required deeper analysis was the still inadequate coverage of the banking and financial sectors. we observed that even with the then 157 domestic banks operating in the country [ comprising 26 public sector banks, 7 new private sector banks, 13 old private sector banks, 43 foreign banks, 4 local area banks ( labs ), and 64 rrbs ], just about 40 per cent of the adults had formal bank accounts. deepening the engagement of formal banking for low income households and providing access to the unbanked would require

do not have any reported instances of crowdfunding in this respect, crypto currencies have been widely suspected to finance criminal activities. we have to be carefully and critically watching these developments. that is why i said these innovative developments which have the potential to be disruptive, may not be of so desirable, or may be of questionable, relevance and merit. conclusion 35. to conclude, we find that several disruptive innovations in the financial sector have immense demonstrated potential to further inclusive growth through financial inclusion. country is getting fruits of such labour. financial regulations also are supportive of disruptive innovation and they also employ the same. however, we need to be cautious about certain other disruptive innovations which have potential to be highly risky and can be destabilising. 36. thank you all for patient listening! bis central bankers ’ speeches