Question

Does Local Financial Development Matter ?

Answer 1

The financial development of every aspect of the country is important. We can look at it from the perspective of the exodus we see where people are migrating from rural areas to cities in search of better jobs or better occupation and standard of living. If we are able to develop the rural areas financially where people are not required to move from village to cities then we can reduce the strain on the resources in the cities that we see happening. The local financial development is important because there are few white collar jobs but the population base is large so instead of people moving to cities in search of jobs are able to find something to work or start their own business in village then they would not be forced to move to big cities. The development of financial institutions in the local areas can also increase the rural income level and reduce the disparity in income level that we see and it can also enhance the standard of living of people there.