To promote financial literacy among rural citizens, the Securities and Exchange Board of India (SEBI), in collaboration with the Ministry of Panchayati Raj, has begun training sarpanches and panchayat officials across six states — Maharashtra, Uttar Pradesh, Gujarat, Jharkhand, Jammu & Kashmir, and Tripura — with plans to expand nationwide.
The initiative aims to empower elected representatives across the three tiers of Panchayati Raj Institutions (PRIs) — gram panchayats (village level), panchayat samitis (block level), and zilla parishads (district level) — by equipping them with practical financial knowledge. These leaders will then guide rural communities on responsible investing and protection against fraudulent schemes.
The training covers topics such as financial planning, budgeting, savings, investment in equities and mutual funds, insurance awareness, and identifying legitimate investment opportunities. It also focuses on early saving habits and understanding the risks of unregulated schemes.
A senior official from the Panchayati Raj Ministry told Financial Express that the goal is to make grassroots leaders capable of educating villagers about the stock market ecosystem — including the benefits and risks of investing. Training sessions have already been conducted in Maharashtra and Tripura.
The National Institute of Securities Market (NISM) is leading the training under its faculty development programme, while SEBI-empanelled trainers and trained PRI resource persons will conduct district and block-level workshops. The National Centre for Financial Education (NCFE) — supported by the RBI, SEBI, IRDAI, and PFRDA — will provide technical assistance.
A total of 3,874 Master Trainers are being deployed across the six pilot states:
- Maharashtra: 574 trainers (287 blocks)
- Uttar Pradesh: 1,652 trainers (826 blocks)
- Gujarat: 500 trainers (250 blocks)
- Jharkhand: 528 trainers (264 blocks)
- Jammu & Kashmir: 504 trainers (252 blocks)
- Tripura: 116 trainers (58 blocks)
According to officials, these trained representatives will act as financial literacy ambassadors in their communities, helping villagers make informed financial decisions.
The initiative also aims to address the urban skew in India’s securities market, where demat and mutual fund accounts have grown from 50 million pre-COVID to 130 million currently, but remain concentrated in cities. By engaging PRIs, SEBI hopes to build a more geographically inclusive investment ecosystem across India.
