Abstract
Financial development plays a decisive role in economic development. It encourages economic growth of the nation through capital accumulation and its efficient allocation. By widening the financial access to the poor and vulnerable sections of the people it reduces poverty and inequality. The financial development results in the financial inclusion. As per the UNO reports, 2.5 billion peoples across the world are excluded from financial services. India is not exempted from this. India is second largest country in the population and majorities are living in the village. According to the 59th NSSO survey estimates, about 73% of the households in India were located in the rural areas. Among them only 24.3 % of the peoples gets the banking facility. From the 27% of the urban people only 18.1% of the people avails the banking facility. Even though RBI has initiated different schemes for the financial inclusion, still a large section of the peoples are unbanked. The poor and weaker sections of the society are kept out of the financial services. The present study focuses on the depth of financial inclusion provided by these banks. This is an interstate comparison on financial development and financial inclusion. Empirical results show the extent of disparity in the financial development and financial inclusion. Region-wise analysis reveals that the Northern Region, Western Region and southern regions of India are financially developed than any other regions. These regions also more included in the financial services provided by the bank