Role of communication and mass communication in the success of microfinance initiatives

Globally, 1.7 billion people do not have access to finance due to the lack of collateral and banks’ lack of information about the creditworthiness of poor people. In this regard, the community lending groups play an important role in ensuring access to loans for people at the bottom of the pyramid. However, poor people need to be sensitized to adopt community lending initiatives through proper communication and information. The significance of communication in group initiatives cannot be overstated, especially with the Government of India implementing diverse strategies to deliver valuable information to group members. Also, the communication strategies are used by the various community lending groups to bring about attitudinal change. This chapter investigates the various communication strategies adopted at various stages of group formation. COVID-19 was a watershed moment, and this study aims to explore the various communication strategies adopted to combat COVID-19. The strategies particularly include the investigation of digitization to impart information and bring about attitudinal change among the group members. It aims to emphasize the pivotal role of effective communication and marketing in enhancing the financial viability of these groups. Various marketing campaigns such as Lakhpati Didi, Sabka sath sabka vikas, and Nari Shakti Mission have played an important role in promoting the cause of financial inclusion among rural communities.