subsidized, it is important to ensure that they are not exploited. the need is to ensure that poor people who deserve credit are provided access to timely and adequate credit in a non - exploitative manner. financial literacy as a complement to financial inclusion, financial literacy aims to build peoples capability to use the financial products and services. as the first stage of literacy is to create demand, all institutions involved in delivery of financial products and services are contributing to our financial literacy agenda. this entails devising appropriate products and services, pricing them reasonably, understanding the risk, communicating it to customers and protecting the customers. multi - agency central bank led approach the central bank has taken a lead role in spreading financial inclusion and financial literacy. both in terms of creating an enabling policy environment and providing institutional support, the reserve bank of india is actively contributing towards the goal of universal financial inclusion in the country. fsdc has constituted a sub - committee to focus solely on financial inclusion and literacy. it is well recognized that to be effective financial literacy initiatives should ideally commence at school level although even at a later stage adult education would provide substantial benefits. realizing this, in india, we have engaged the curriculum setting bodies like national council of educational research and training ( ncert ), education boards like central board for secondary education ( cbse ), central and state governments, in the fsdc sub - committee on fi and fl. a large number of other players are involved. all other financial sector regulators, banks, insurance companies, pension funds, nabard, corporates, industry associations, ngos and other members of the civil society are actively engaged in this process. thus, our basic approach could be described as a central bank led multi - agency approach. national financial literacy strategy one of the important tasks that the fsdc sub - committee is undertaking is to formulate our national financial literacy strategy document. it is being finalized with the following objectives : create awareness and educate consumers on access to financial services, availability of various types of products and their features. change attitudes to translate knowledge into behaviour. make consumers understand their rights and responsibilities as clients of financial services. bis central bankers ’ speeches who should be imparted financial literacy? contrary to popular perception, financial literacy has to be imparted to everyone in the economy viz. users and providers. in the indian context, the users are broadly the financially excluded resource - poor, the lower and middle income groups and high net worth individuals. equally important, banks

decided to provide massive financial assistance ( since revised to rs. 19, 330 crores ( rs. 193 billion ) from the originally estimated rs. 13, 596 crores rs. 136 billion ) to the financially haemorrhaged short term cooperative credit structure but also, only appropriately, made it conditional upon rigorous and stringent compliance with, and progress on, pre - specified critical parameters like facilitating regulatory powers of the rbi, limiting equity participation of state governments in cooperative banks to 25 %, limiting the powers of state governments to supersede the boards, removing state government intervention in all financial and internal administrative matters, special audits of pacs, district central cooperative banks ( dccbs ), and state cooperative banks ( scbs ), conduct of statutory audit by chartered accountants ( cas ), timely election of board of directors, appointment / co - option of professionally qualified directors and appointment of chief executive officers ( ceos ) in accordance with the rbi - prescribed fit - and - proper criteria, training and human resources development, computerization, common accounting system ( cas ) and management information system ( mis ), by amendment of state co - operative societies acts and amendment of rules and adoption of appropriate bye - laws. in this context, it is encouraging to note that 25 states have since signed the mous for implementation of the revival package. these are andhra pradesh, arunachal pradesh, assam, bihar, chattisgarh, gujarat, haryana, jammu & kashmir, jharkhand, karnataka, madhya pradesh, maharashtra, manipur, meghalaya, mizoram, nagaland, orissa, punjab, rajasthan, sikkim, tamil nadu, tripura, uttarakhand, uttar pradesh and west bengal. between them, they cover more than 96 % of the stccs units in the country. the financial assistance under the package is released only on the implementation of legal and institutional reforms. nabard has, as on 31 october, 2011, has already released an amount of rs 9002. 98 crore ( rs. 90 billion ) towards government of india ’ s share for recapitalisation of pacs in seventeen states while state governments have released rs. 855. 53 ( rs. 8. 5 billion ) crore as their share. it is also very encouraging to note that 21 states have amended their respective state cooperative societies acts and these are andhra pradesh, arunachal pradesh, bihar, gujarat, haryana, karnataka, jammu & kashmir, jharkhand,