Science and Education Publishing Journal of Finance and Economics 2328-7276 1 1 2013 08 01 Impact of Cooperatives in Financial Inclusion & Comprehensive Development 49 53 EN P. Lakshmi Department of Management Studies National Institute of Technology, Trichy S. Visalakshmi JFE2013134 10.12691/jfe-1-3-4 2013 06 09 2013 07 31 2013 08 01 The promotion of an inclusive financial system is considered a policy priority in many countries. Financial inclusion is important for improving the living conditions of poor farmers, rural non- farm enterprises and other vulnerable groups. While the importance of financial inclusion is widely recognized, there is lack of assessment of the extent of financial inclusion based on credit flow to small borrowers in Indian economy. The liberalized, increasingly global, market driven economy of India today, has failed to facilitate inclusive growth. This paper attempts to fill this gap by evaluating the extent of financial inclusion and emphasises the active participation of cooperatives as important tools of financial inclusion in India.