Google plans to educate investors and sell financial products in India
Google plans to re-enter the financial services market launching a website to teach Indians about financial planning. The internet giant is in talks with the government about aligning Bharat Saves, which is still in development, with  Jan Dhan Yojana, the government financial inclusion scheme. The proposed site plans to provide high-grade information about financial planning via several modules, asking users to take financial literacy tests based on what they learn, which would be endorsed by certificates issued by the government. The purchase of financial and insurance products would be linked to Jan Dhan Yojana and subject to consumers passing the financial literacy test. It is not yet clear where Google plans to source the products.

NEW DELHI: Google wants to help you save more and invest better.The US-headquartered technology company with a large India presence is planning to develop a website, Bharat Saves, which will offer information on financial planning.Google wants to align its Bharat Saves website to the government’s financial inclusion scheme, Jan Dhan Yojana, which has since its 2014 launch seen 24 crore new bank accounts being opened and attracted deposits ofRs 41,000 crore.A senior finance ministry official, speaking off record, told ET that Google is in talks with the government and that the company’s proposal is being “examined”.He said the digital platform “may provide a range of financial literacy tools and information on financial products”.A Google spokesperson told ET: “In line with the Prime Minister's vision to create greater financial inclusion-….various BFSI organisations and industry associations are coming together to launch a digital platform”.The spokesperson also said a financial literacy awareness campaign may be part of the plan. Bharat Saves will be an app and website, both of which are being designed by Google.In the first leg, users have to log into either of the platforms and complete financial literacy modules.They will need to take a financial literacy test, the certifications for which will be given by the Indian government, Google and an industry organisation.These will open up a second section of the app/website, where users will be able to see, compare and purchase banking and insurance products. Eventually, more financial product categories will be added and the platform will be linked to PM’s Jan Dhan Yojana.The target consumers for this platform will be homemakers, small business owners, the newly employed, retired persons and farmers.Google’s proposal to the government comes at a time another American technology behemoth, Apple, has held talks with the government on making Apple Pay, a mobile payment and digital wallet service, a part of financial inclusion programmes.Prime Minister Narendra Modi has met several technology company CEOs and deeper participation in the government’s Digital India programme has been on the agenda in these meetings.“There were some discussions on these issues when the PM met CEOs of top tech giants at the Digital India forum in San Jose, California during his visit to the US,” an official familiar with the issue said.India’s savings rate has fallen recently – IMF data shows a fall from 36 per cent of GDP to 31 per cent GDP between 2007-08 and now. Household savings have also fallen, with other data showing households save less than a quarter of their disposable income, down from over 30 per cent around four years back.While stagnant income in real terms/high inflation for many social classes has been identified as a recent factor for drop in the savings rate, economists have long argued that lack of access to modern financial instruments is also a structural contributory factor.