Expand Financial Inclusion Using AI and Fintech Innovation: DFS Secretary

Context:

At the CII’s 3rd Financial Inclusion and Fintech Summit (New Delhi, July 7), M. Nagaraju, Secretary of the Department of Financial Services (DFS), urged fintech firms to deepen financial inclusion by leveraging Artificial Intelligence (AI) and digital innovation, while also strengthening fraud and cyber risk management.

Key Highlights:

DFS Push for AI-Led Financial Inclusion

• Fintechs should:
  • Use AI and digital tools to expand access to financial services.
  • Develop fraud detection and cybersecurity solutions to safeguard digital finance ecosystems.
• Fintechs were encouraged to lead innovation in onboarding, authentication, fraud mitigation, and financial literacy.

Financial Inclusion & SDGs

• 7 out of 17 UN Sustainable Development Goals (UNSDGs) are directly linked to financial inclusion.
• Financial inclusion is critical to:
  • Poverty alleviation
  • Economic growth
  • Social empowerment

Progress in India’s Financial Inclusion (2014–2024)

• Key schemes cited:
  • Pradhan Mantri Jan Dhan Yojana (PMJDY)
  • Pradhan Mantri Suraksha Bima Yojana
  • PM Swanidhi Yojana
  • Atal Pension Yojana

BS