Digital financial services appear to have impacted financial inclusion progress as reported by the Reserve Bank of India’s Financial Inclusion (FI) Index. Studies show that while India has made considerable progress in traditional financial inclusion due to the implementation of PMJDY, the improvement in fintech-driven financial inclusion is, however, lower than the average of Asia-Pacific. Do digital financial service providers use and complement the existing bank network to reach the unbanked? Digital agri-financeDigital financial services in agriculture can support and deepen financial inclusion of farmers in emerging markets and developing economies. Second, digital financial services can deepen financial inclusion, reducing information asymmetry in financial markets and transaction costs.

Source: The Hindu January 04, 2024 03:15 UTC