International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056 Volume: 11 Issue: 05 | May 2024
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A Study on Role of Fintech in Financial Inclusions in India Subhan Shaik 1, Dr. N. Siva Surendra 2 1 Assistant Professor Department of Business Administration, Prasad V Potluri Siddhartha Institute of Technology,
Vijayawada, Andhra Pradhesh,India,
2 Assistant Professor Department of Business Administration ,Prasad V Potluri Siddhartha Institute of Technology,
Vijayawada, Andhra Pradhesh ,India. --------------------------------------------------------------------***--------------------------------------------------------------------transfer systems available in Kenya and India. His paper's Abstract - This paper explores the role of fintech in
main focus is on how FinTech has changed the way that millions of people in emerging nations like China and India access finance, with an emphasis on the role that regulatory frameworks play in facilitating this process. He concluded that technological advancement might transform global finance by fostering greater inclusivity, decentralization, and egalitarianism in FinTech.
promoting financial inclusion. It analyses how fintech has bridged the gap between the traditional banking system and underserved populations. By leveraging technology and innovative solutions, fintech has enhanced access to financial services, particularly in developing regions. The paper discusses various applications of fintech in expanding financial inclusion, comparisons with traditional banking methods, challenges, and opportunities for future research.
3. Concept of Fintech
Key Words: Financial inclusion, Fintech, Banking services,
Fintech has revolutionized the financial sector by offering digital payment solutions, mobile banking, peer-to-peer lending platforms, and microfinance services. These innovative technologies have enabled individuals without access to traditional banks to participate in the financial system. Fintech companies such as mobile money providers have allowed users to conduct transactions, save money, and access credit using their mobile phones, thus reducing the barriers to financial access.
Microfinance, Digital payments, Remittances, Access to finance, Economic development.
1. INTRODUCTION Financial inclusion, the access and usage of financial services by all individuals and businesses, is vital for economic growth and development. However, traditional banking systems often fail to reach the unbanked and under banked populations, leading to exclusion from basic financial services. Fintech, the integration of technology into financial services, has emerged as a solution to address these gaps and improve financial inclusion..
In comparison to traditional banking methods, fintech offers lower costs, faster transactions, and greater convenience. Mobile banking apps and online payment platforms have simplified financial processes, making them accessible to a wider audience. Furthermore, fintech companies leverage data analytics and artificial intelligence to assess creditworthiness and offer tailored financial products to underserved populations.
2. Review of Literature In 2017, Badar Alam Iqbal and Shaista Sami evaluated the effect of financial inclusion on the expansion of the Indian economy over a period of seven years. Multiple regression modeling was used to analyze secondary data, and the study's findings demonstrated that the bank branch and credit deposit ratio had a noteworthy and favorable impact on the GDP of the country.
Despite the benefits of fintech in promoting financial inclusion, challenges exist, such as cyber security risks, data privacy concerns, and regulatory barriers. Additionally, digital literacy and internet connectivity issues can hinder the adoption of fintech services in certain regions. Addressing these challenges will be crucial to ensuring that fintech can truly enhance financial inclusion for all.
Ms. Divyani Datta (2023) concentrated on giving a conceptual explanation of how fintech aided in the post-pandemic financial inclusion of India. The study's descriptive approach provided an imaginative picture, and it also made mention of how fintech may assist put the economy back on track by addressing its overall effects on the people as a whole.
Financial inclusion as a driver of economic development Challenges faced by marginalized populations in accessing financial services The emergence of fintech as a solution to enhance financial inclusion
Guild (2017) investigated FinTech and the Future of Finance, the Impact of Technology on the Financial Sector, and the Relationship between Technical Innovations in FinTech and Technological Advancement and Innovation. FinTech developments include, among other things, digital currency
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3. Fintech and Access to Banking Services Mobile banking and its role in expanding access to banking services Digital banking platforms and their impact on financial inclusion Case studies illustrating successful fintech initiatives in
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