Financial Inclusion and Union Budget:
Financial inclusion is increasingly recognized as one of the main drivers of economic growth and poverty reduction around the world. Studies have shown that access to formal finance can promote job creation, reduce vulnerability to economic shocks and increase investment in human capital. Seven of the United Nations Sustainable Development Goals (SDGs) for 2030 see financial inclusion as a key factor in achieving global development.
2020 EU budget and to enable financial inclusion
Finance Minister Nirmala Sitharaman said in the presentation of the Union budget for 2020 that technological tools such as artificial intelligence, Internet of Things, 3D printing, drones, data storage, and quantum computers are helping to change the way we work. focuses on promoting financial inclusion in the country. “
How can artificial intelligence promote digital financial inclusion?
Most rural residents apply for lines of credit from a financial institution, but due to a lack of “credit quality or history”, loans are not granted at very high-interest rates.
AI can be used to establish a national credit point for individuals based on crop turnover, operating income, or revenue. Data collected from SMS logs can help the contact details identify the user who can be trusted to repay the loan. Based on this, he can receive an FI score and provide credit for individuals’ needs.
How can the Internet of Things promote digital inclusion?
The Internet of Things [IoT] of handheld technologies fills the gap and provides access to formal financing for immigrants/rural areas of a country.
In Africa, we’ve seen a clear example of people constantly struggling for electricity. As a result, solar chargers and lanterns have evolved, but they cost a lot and since people have a limited income, it is difficult to determine a fixed amount at first. To do this, they designed a prepaid model that connects the solar device to the SIM card for remote control and integration with the payment network, so customers can pay easily and drivers can use the device remotely in case of problems.
How can the drone promote digital inclusion?
The last mile in rural and remote areas is still a struggle and new companies are looking for a viable solution. Drones can help with this.
It can be risky to hand over cash up to the last mile, but handing over [clothes, books, wheat, etc.] with a digital interface that allows payment can contribute to social inclusion.
Drones can help the insurer with in-home/vehicle/shop investigations as part of an insurance claim and file the claim for faster resolution. It can help provide the rural population with insurance that guarantees a good quality of life.
How can quantitative computers promote digital inclusion?
Quantum computing may not have a direct impact on non-bankers, but it can help
• Investors evaluate cases for banks and FIs with innovative products
• Find banking and regional tastes based on data
• Supply chain to quickly search and find the best way to meet logistics deadlines.
Our Prime Minister has not only provided the budget for these emerging technology growth plans but has also confirmed that all public institutions at the Gram Panchayat level will have digital connectivity and that fiber will be connected to 100,000 homes via BharatNet. Gram Panchayats in fiscal year 2020-21. Sitharaman said: “Anganwadi centers, health and care centers, post offices, police stations, and other rural aid centers to achieve 100% digital access. The government’s vision is that all public institutions should have a digital connection.”
Over the past four years, Teknospire, a technology provider for banks and NBFC, has contributed to financial and social inclusion. Please feel free to call if you are looking for a Digital Banking, API Banking, or Mobile Wallet solution.