The Private Financial institutions are now ready to tap the extensive rural market in India. India is the country of villages and more than 600,000 villages are still untouched from the economic boom India has experienced in past one decade.

Now, the lakhs of untouched villages, which have great market potential, are the next target for Industrialists and financial institutions. Tapping the potential in the lakhs of villages across the country is a big challenge before the business class in India.

K.V. Kamath, CEO and MD, ICICI Bank Ltd said, while delivering speech at the inauguration of the 15th Quality Summit of the CII Institute of Quality, that the development of any financial organization and other companies would now depend upon how they take initiative for innovating new business models to tap the rural market across the country.

The business activity is being migrated to the rural market in a big way. Kamath said that the innovations of new business models would be essential for sustainable growth in the country and at the same time, it would prove to be the distinguishing factor for the organizations as well.

The financial institutions have started looking or identifying the fresh horizons for the sustainable and inclusive growth. Kamath said that ICICI Bank’s growth has been based on its ability to identify opportunity horizons before any other institutions to build models to tap those horizons.

This is a big challenge before the Indian corporate sector to innovate a new kind of business model to establish a distribution base across the 600,000 villages in India at an effective manner.

As India is being rated among the fastest growing economies in the world, Indian companies now need to accelerate themselves to face new challenges such as environment, social and talent aspects and to develop in the areas such as sustained market leadership, societal aspirations, environmental issues, to make technological advancements and to innovate new models of development.

The center of growth is slowly being shifted from metro cities to comparatively smaller cities in different states. In coming days, the center of growth saga would be written from the villages for sure but it would need a strong model for development of the rural India. Once the focus shifted from urban to rural India, people would see a new revolution in the country.

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