Why India’s financial inclusion drive may be running out of steam
6 years, 11 months ago

Why India’s financial inclusion drive may be running out of steam

Live Mint  

Bengaluru: Among the 10 largest emerging markets in the world, belonging to the G20 group, India today has the highest share of people with an account in a financial institution. India’s share of inactive accounts, at 48%, is the highest in the world, the World Bank notes in its report based on the survey. As the first chart shows, India has witnessed the largest improvement in access to financial services over the past three years among peers. The high share of inactive accounts suggests that many beneficiaries of the Pradhan Mantri Jan Dhan Yojana either don’t have money or they lack any strong incentive to use the formal banking network.

India Financial Financial Services Accounts 2017 Inactive Accounts  pmjdy  accounts  financial  indias  inclusion  share  services  steam  past  drive  running  2017  india  world  largest

History of this topic

Fin inclusion not just opening accounts, engagement is key: RBI Dy. Gov. Rao
1 month ago

Fin inclusion not just opening accounts, engagement is key: RBI Dy. Gov. Rao

New Indian Express  

MUMBAI: There have been some concerns about excessive borrowing in unsecured segment and from derivative euphoria in the capital markets of late, says M Rajeshwar Rao, deputy governor, Reserve Bank of India. “However, true financial inclusion goes beyond merely having a bank account—it requires meaningful engagement with financial services,” he said, adding a bank account should serve as an entry …

Financial inclusion not just opening accounts; engagement key: RBI Deputy Governor Rao
1 month ago

Financial inclusion not just opening accounts; engagement key: RBI Deputy Governor Rao

New Indian Express  

MUMBAI: Of late there has been some concerns of excessive borrowing in unsecured segment and from derivative euphoria in the capital markets, Rao said Though as much as 80% of the adult population have bank accounts now, thanks to the Jan Dhan Yojana or no-frills accounts, meaningful use of these accounts remains a challenge, rues Reserve Bank deputy governor M …

UPI dominates digital payments
1 month ago

UPI dominates digital payments

Deccan Chronicle  

Mumbai: India’s digital payments landscape is undergoing an unprecedented transformation, with Unified Payments Interface emerging as the dominant force driving financial inclusion, merchant adoption, and cross-border transactions. According to an industry report, “Crafting the Future of Real-Time Payments: From Less Cash to Cashless” by The Digital Fifth, UPI now drives 84 percent of all digital transactions in India, solidifying its …

Payments banks are pioneering digital financial inclusion: Airtel Payments Bank’s Biswas
2 months, 1 week ago

Payments banks are pioneering digital financial inclusion: Airtel Payments Bank’s Biswas

Live Mint  

Payments banks in India have encouraged digital financial inclusion and helped small finance banks to grow, Anubrata Biswas, managing director and chief executive of Airtel Payments Bank, said. Payments banks today touch 250 million users every month, while the small finance bank industry touches 20 million consumers who wouldn't have got credit from the traditional banks. “This $10 billion cannot …

Challenges and opportunities of adopting AI for financial security in India’s growing digital economy
2 months, 1 week ago

Challenges and opportunities of adopting AI for financial security in India’s growing digital economy

Firstpost  

To fully harness AI’s potential, India must address these complexities while building on its growing trust in digital platforms. Opportunities presented by AI Financial inclusion: According to India’s Economic Survey 2024, adult bank account ownership has increased to 77 per cent, reflecting significant progress in recent years. In India, integrating AI at a platform level can enhance security through multi-modal …

Why fin services in India will boom and bloom
2 months, 2 weeks ago

Why fin services in India will boom and bloom

New Indian Express  

There was a cheer when India’s stock market registered the 100 millionth investor account. While that is an astounding number for most countries, it is just a fraction of the potential in India, with 1.4 billion people. However, India needs households to deploy their savings into bank deposits and equity assets. Most Indian household wealth is still in physical assets …

UPI achieves record 15,000 crore transactions worth ₹223 Lakh Crore by Nov 2024
3 months, 1 week ago

UPI achieves record 15,000 crore transactions worth ₹223 Lakh Crore by Nov 2024

Hindustan Times  

The Finance Ministry said on Saturday that from January to November of this year, 15,547 crore transactions of ₹223 lakh crore were handled through the Unified Payments Interface. From January to November of this year, 15,547 crore transactions of ₹ 223 lakh crore were made over the Unified Payments Interface, "demonstrating its transformative impact on financial transactions" in India.) The …

Credit Score: How is increased awareness driving financial inclusion beyond metros
3 months, 2 weeks ago

Credit Score: How is increased awareness driving financial inclusion beyond metros

Live Mint  

Imagine this – Over 119 million Indians are actively monitoring their credit scores, with a majority emerging from rural and semi-urban areas. Technology is dismantling traditional barriers to financial inclusion, and the importance of maintaining a good credit score is becoming an integral part of financial planning for individuals in non-metro regions. A new financial awakening in non-metros The awareness …

India at the Forefront of Digital Revolution: RBI’s Patra
4 months, 1 week ago

India at the Forefront of Digital Revolution: RBI’s Patra

Deccan Chronicle  

Mumbai: India is at the forefront of the digital revolution and financial technology is speeding up digital payments, the Reserve Bank of India Deputy Governor Michael Debabrata Patra said on Wednesday. Patra in his inaugural address at the DEPR Conference on 'Digital Technology, Productivity and Economic Growth in India' said that the country is uniquely positioned to unlock new growth …

Economic Survey 2023-24: Displaying stellar show banking, financial sectors must brace for likely vulnerabilities
8 months ago

Economic Survey 2023-24: Displaying stellar show banking, financial sectors must brace for likely vulnerabilities

The Hindu  

With India’s banking and financial sectors displaying a stellar performance in FY24 and as India’s financial sector undergoes critical transformation, it must brace for likely vulnerabilities originating globally or locally, the Economic Survey 2023-24 has cautioned. Economic Survey 2023-24 LIVE updates In FY24 bank credit witnessed double digit and broad-based growth and asset quality improved dramatically with gross and net …

India's non-banking financial sector grew by 10%; declined globally by 3 %
9 months, 1 week ago

India's non-banking financial sector grew by 10%; declined globally by 3 %

Hindustan Times  

India's non-banking financial sector registered a growth of 10 per cent however globally the sector declined by 3 per cent, highlights a report by SBI. The report highlighted India as the third-largest entities in the non-banking financial sector, following the United States and the United Kingdom. However, Economic Function 2 entities i.e., entities undertaking lending activities, which are akin to …

Banks rely on AI as digital transactions grow, and methodology of frauds evolves
10 months, 2 weeks ago

Banks rely on AI as digital transactions grow, and methodology of frauds evolves

Hindustan Times  

India’s digital transactions continue to see rapid growth, and that translates to big volumes. On April 24, the Reserve Bank of India barred Kotak Bank from issuing new credit cards for now, due to “the absence of a robust IT infrastructure and IT Risk Management framework.” It draws on a mix of factors, including reliability of the bank’s infrastructure alongside …

The impact of technology on finance: Enhancing experiences and safety
11 months, 2 weeks ago

The impact of technology on finance: Enhancing experiences and safety

Hindustan Times  

The proliferation of financial technology and digital banking services has revolutionised the financial landscape, making access to finance more convenient and inclusive. The prominence of fintech platforms and the increasing digitalisation of banks have democratised financial services, expanding access beyond metropolitan cities. There is a significant increase in instances of fraudsters posing as employees of fintech platforms, attempting to obtain …

Financial inclusion can reduce gender gaps in India
11 months, 3 weeks ago

Financial inclusion can reduce gender gaps in India

Hindustan Times  

Surpassing the United Kingdom and France, India has become the world’s fifth largest economy. PREMIUM Gender Equality {{^userSubscribed}} {{/userSubscribed}} {{^userSubscribed}} {{/userSubscribed}} Financial inclusion plays a crucial role in advancing the economic empowerment of women, which is a key objective outlined in the fifth Sustainable Development Goal concerning gender equality. Despite the country’s initiatives aimed at enhancing financial inclusion, significant disparities …

Boosting Jan Dhan account activity: Strategy for enhanced financial inclusion
1 year, 1 month ago

Boosting Jan Dhan account activity: Strategy for enhanced financial inclusion

Live Mint  

Financial inclusion in India has traditionally been equated with the expansion of banking networks and the proliferation of bank accounts among the underserved. The Global Findex data from 2021 provides an insightful snapshot into India's evolving financial inclusion landscape, marked by significant digital adoption and changing saving and borrowing behaviors. According to Findex, India experienced a slight percentage decline in …

India's UPI leads the way in global non-cash transaction boom
1 year, 6 months ago

India's UPI leads the way in global non-cash transaction boom

India TV News  

India's UPI leads the way in global non-cash transaction boom In August, UPI-based payments in India achieved a milestone by surpassing 10 billion monthly transactions for the first time, as reported by the National Payments Corporation of India. According to IANS, the report pointed out that in 2022, UPI payments in India were more popular than credit and debit card …

World Bank Praises India's Digital Public Infrastructures
1 year, 6 months ago

World Bank Praises India's Digital Public Infrastructures

Deccan Chronicle  

New Delhi: Lauding India’s Digital Public Infrastructures approach, the World Bank has stated that India has achieved in just six years under the Narendra Modi-led government what would have otherwise taken about five decades. "In just six years, India has catapulted its financial inclusion rate from 25 per cent in 2008 to over 80 per cent of adults, according to …

World Bank lauds India's digital infra impact: 'Five-decade journey in 6 years'
1 year, 6 months ago

World Bank lauds India's digital infra impact: 'Five-decade journey in 6 years'

Hindustan Times  

The World Bank has lauded the transformative impact of Digital Public Infrastructures in India in the past decade under the Narendra Modi-led government. The document, prepared by the World Bank as part of the G20 Global Partnership for Financial Inclusion, highlighted the measures taken by the Modi government and the pivotal role of government policy and regulation in shaping the …

'Five decades journey in just six years...': World Bank applauds India, PM Modi acknowledges it
1 year, 6 months ago

'Five decades journey in just six years...': World Bank applauds India, PM Modi acknowledges it

India TV News  

The World Bank stated that India's digital public infrastructure has had a profound impact that goes well beyond financial inclusion. The World Bank's praises come as India has developed some of the best digital public goods infrastructure, which has the potential to transform lives all across the world. World Bank document hails Indian govt's policy The World Bank document, prepared …

India ranks first in digital payments made globally: Report
1 year, 7 months ago

India ranks first in digital payments made globally: Report

Deccan Chronicle  

Hyderabad: Online banking and the shift to a cashless society started approximately three decades ago in India. This year, 91 billion digital payment transactions have been recorded and today India ranks first in the number of digital payments made globally. Backbase on Wednesday released the IDC Infobrief titled ‘Accelerating customer-centric transformation by balancing build and buy - A collaborative approach …

Technology has placed women’s financial inclusion within reach
1 year, 8 months ago

Technology has placed women’s financial inclusion within reach

Live Mint  

In a rapidly evolving digital landscape, with technology reshaping industries and societies, digital public infrastructure has emerged as a catalyst for financial inclusion. While digital financial inclusion is vital, gender disparities still exist in women’s access to digital financial services and their comprehensive utilization. The G20 High-Level Principles for Digital Financial Inclusion and the report on Advancing Women’s Digital Financial …

UPI And Aadhaar-Enabled Payment Most Used Banking Services By MSMEs: Report
1 year, 10 months ago

UPI And Aadhaar-Enabled Payment Most Used Banking Services By MSMEs: Report

News 18  

The MSME sector in India is on an ambitious growth curve and in recent years, there has been a progressive change in the mindsets of small business owners towards technology adoption. In a new study, PayNearby, the digital financial services network, said that more than 71% Micro, Small and Medium Enterprises in retail, use some form of digital technology for …

Open banking is helping revolutionize access to credit
1 year, 10 months ago

Open banking is helping revolutionize access to credit

Live Mint  

Despite India’s micro, small and medium enterprises contributing about a third of the country’s gross domestic product and employing over 110 million people, they struggle to access and afford credit. For instance, let us look at the sustained efforts to boost the adoption of the Account Aggregator network—the independent entity that facilitates secure and consent-based financial data-sharing between customers and …

India’s digital payments market will grow to USD 10 trillion by 2026
2 years ago

India’s digital payments market will grow to USD 10 trillion by 2026

Op India  

In a country witnessing rapid growth, it comes as no surprise that India also has one of the fastest-growing fintech landscapes in the world, driven primarily by the advancement in digital payments segment. A recent report by PhonePe and Boston Consulting Group concluded that India’s digital payments market will more than triple from USD 3 trillion to USD 10 trillion …

Budget 2023 Expectations: These Initiatives Can Boost Fintech Sector
2 years, 1 month ago

Budget 2023 Expectations: These Initiatives Can Boost Fintech Sector

News 18  

India is fast developing a robust and vibrant ecosystem for the financial technology industry. The government has undertaken several initiatives to support the burgeoning fintech industry in recent times, and it is felt that the following measures in the upcoming Budget 2023 will provide further fillip to the fintech industry and upscale the Digital India initiative: Investments for the Development …

India records more digital payments than US, UK, Germany & France: Vaishnaw
2 years, 2 months ago

India records more digital payments than US, UK, Germany & France: Vaishnaw

Hindustan Times  

Union minister Ashwini Vaishnaw on Friday said India's digital payments transactions last year exceeded those of the combined digital payments of United States, United Kingdom, Germany and France, ANI reported. "In December 2022, the digital payments transactions amounted to $1.5 trillion annualised basis. If you compare total digital transactions in US, UK, Germany and France and combine them, India's figures …

Fintech 2.0 in 2023: Can India unlock next level
2 years, 4 months ago

Fintech 2.0 in 2023: Can India unlock next level

Firstpost  

The FinTech industry has grown exponentially, and the wave of changes brought in by fintech has profoundly impacted financial inclusion and penetration. It has also been beneficial since a country like India caters to a large population, so it requires advanced technology FinTech has become such an integral part of the financial services ecosystem over the past few years, that …

There Is A Fintech Revolution Happening In India, And These Are The Factors Driving The Industry
2 years, 5 months ago

There Is A Fintech Revolution Happening In India, And These Are The Factors Driving The Industry

ABP News  

India has the highest adoption rate of any country in the world when it comes to financial technology, and this has ushered in a new age for the sector. Fintech's meteoric rise can be attributed to a confluence of factors, including technological advancements, altering social mores, and a regulatory climate that encourages innovation. The India stack and other forms of …

Why CCI matters for protecting customers from digital players
2 years, 6 months ago

Why CCI matters for protecting customers from digital players

Live Mint  

The Parliamentary Standing Committee on Finance, headed by Jayant Sinha, is only the latest to voice its concerns about potential risks from the rapid growth of the digital economy. In particular, the risks arising from the inherently anti-competitive nature of players in the digital world due to what are known as network effects, the peculiar feature that makes the value …

We are well placed to let fintech lead the success of Digital India
2 years, 7 months ago

We are well placed to let fintech lead the success of Digital India

Live Mint  

From a 6.6% contraction in 2020-21, the Indian economy recorded a sharp rebound of 8.7% growth in 2021-22, by provisional estimates. The Niti Aayog report, India’s Booming Gig and Platform Economy, has underscored the role of fintech and a regulatory sandbox regime in helping India achieve its $5 trillion target. Broadly, the fintech sector is regulated under five regulations: the …

Data | India transitions from money purse to digital wallets
3 years ago

Data | India transitions from money purse to digital wallets

The Hindu  

The pandemic has accelerated India’s transition to a digital economy. The RBI’s newly introduced digital payments index also shows that digital payments surged in India, especially during the pandemic. However, the currency in circulation as a % of the GDP has crossed pre-demonetisation levels in India and is the highest among the economies compared Wallets preferred The chart shows the …

The crypto phenomenon
3 years, 3 months ago

The crypto phenomenon

The Hindu  

A bulletin that announces issues to be discussed in the winter session of Parliament, which began in early December, had on its list the proposed cryptocurrency Bill. Following interviews with people knowledgeable on the subject, Frontline found that the collective opinion is that India should not lose out on this opportunity which, a crypto investor says, “is India’s Crypto moment”. …

India aims to open finance to millions with user-data system
3 years, 6 months ago

India aims to open finance to millions with user-data system

Live Mint  

India unveiled a data-sharing system that could revolutionize investing and credit, giving millions of consumers greater access and control over their financial records and expanding the potential pool of customers for lenders and fintech companies. Here’s how it works: On one side are Financial Information Providers, such as banks, tax authorities and telecom operators, which possess financial information about people …

Financial privacy must be recognised in India
3 years, 8 months ago

Financial privacy must be recognised in India

Hindustan Times  

Does one grain of sand make a ‘heap’? In a recent article linked below, this linguistic conflation in the context of ‘financial privacy’ is examined in the context of India’s technology and financial sector laws governing the vast field of ‘fintech’, including public and private financial institutions, regulators, government bodies and ministries, and financial institutions like banks, insurance companies, pension …

‘Fintech is India’s growth enabler’
3 years, 10 months ago

‘Fintech is India’s growth enabler’

Live Mint  

Financial technology, or fintech, enables a nation’s growth as it allows access to goods and services that are otherwise not available to everyone, said Munish Varma, managing partner, SoftBank Vision Fund, at Mint’s India Investment Summit 2021. If India can bring more such services into the formal banking/lending system using companies such as Paytm, the country will grow more,” he …

Online Payment Systems Beyond RBI: A Threat To National Financial Security
4 years, 2 months ago

Online Payment Systems Beyond RBI: A Threat To National Financial Security

Live Law  

"Data is the new oil". Given this backdrop, and the recent developments concerning companies whose activities of using customer data without consent, casts an imminent danger to the privacy, security and even safety of the user in the digital age. The new Privacy Policy and Terms of Use of WhatsApp have mentioned that it shares the customer data with Facebook …

Policy roll-back may dent banks’ health, says RBI
4 years, 2 months ago

Policy roll-back may dent banks’ health, says RBI

The Hindu  

In 2020-21, as policy support is rolled back, the impact of the COVID-19 pandemic may dent the health of the banks and non-banks, the Reserve Bank of India said in its Report on Trend and Progress of Banking in India 2019-20. This is a statutory publication in compliance with Section 36 of the Banking Regulation Act, 1949 and this Report …

Digital outages show volumes outpacing IT upgradation in India
4 years, 3 months ago

Digital outages show volumes outpacing IT upgradation in India

Live Mint  

Mumbai/New Delhi: Frequent outages in digital delivery of financial services in India could be a concern in a post-covid world, where such transactions are of significant importance for consumers and providers alike. However, recent experiences like that of HDFC Bank customers and more recently for customers of India’s largest lender State Bank of India on the Yono mobile app say …

A cap on UPI transactions could hold digital India back
4 years, 4 months ago

A cap on UPI transactions could hold digital India back

Live Mint  

While India entered a technical economic recession in the first half of 2020-21, some sections of the bureaucracy seem unaware of the situation on the ground and continue to announce policies without due consideration of their potentially adverse impact on businesses and the Indian economy. A volume-based cap would compel TPAPs to either limit the number of transactions on their …

Opinion | Bridging the financial divide digitally
4 years, 6 months ago

Opinion | Bridging the financial divide digitally

Live Mint  

The world economy has succumbed to the covid-19 pandemic over the past few months, leading to steep cuts in discretionary purchase. The phenomenal growth of the Unified Payment Interface in a country as diverse as India has drawn attention of all the big tech companies around the world with firms like Google requesting the US Federal Reserve to build a …

Opinion | Business possibilities in a world of digital payments
5 years, 2 months ago

Opinion | Business possibilities in a world of digital payments

Live Mint  

Among the many travails being faced by our honourable finance minister Nirmala Sitharaman nowadays is the furore caused by her recent announcement of the zero merchant discount rate policy for payments through RuPay debit cards and Unified Payments Interface instruments. Critics of this policy lament that it would begin to reverse the progress India has made in recent years to …

IIFL bets on India’s beleaguered financial sector
5 years, 3 months ago

IIFL bets on India’s beleaguered financial sector

Live Mint  

IIFL Asset Management Ltd., which oversees $3.3 billion in assets, is set to expand on a strategy of investing in the most stressed area of India’s economy: the financial services industry. The firm aims to eventually attract $1 billion from funds globally to invest in the nation’s privately owned banks, shadow lenders, insurance companies, asset management firms, stock exchanges and …

India is making rapid strides in digital finance
5 years, 8 months ago

India is making rapid strides in digital finance

Deccan Chronicle  

The financial industry’s efforts to serve lower-income customers have gone through four distinct phases — from social banking to microfinance to financial inclusion and now to technology-driven financial services or digital financial inclusion Digital technologies have now become the most powerful lever for financial inclusion and are considered the smartest way to rapidly unlock economic opportunity and accelerate social development …

Opinion | India must resist the lure of excessive financialization
5 years, 8 months ago

Opinion | India must resist the lure of excessive financialization

Live Mint  

Viral Acharya made a “famous” speech last year that a government that does not respect institutional autonomy would incur the wrath of financial markets. The excess reserves held by the Reserve Bank of India that the government is seeking could be deployed as capital in new term-lending financial institutions. Armed with the government’s credit guarantee, they can then borrow in …

Budget 2019: Why FinMin Must Focus On Digital Channels To Stride Towards Financial Inclusion In India
5 years, 8 months ago

Budget 2019: Why FinMin Must Focus On Digital Channels To Stride Towards Financial Inclusion In India

ABP News  

Budget 2019: After a consecutive majority mandate received by the BJP government, there is great anticipation around the presentation of Union Budget 2019. The last term focused heavily on introducing various financial inclusion programs like - Jan Dhan Yojana, Jan Suraksha, Digi-Dhan Vyapar Yojana for Merchants and many more to serve India’s un-banked and under-banked segment. The convergence of financial …

Banking in India: Why many people still don’t use their accounts
5 years, 9 months ago

Banking in India: Why many people still don’t use their accounts

Al Jazeera  

Despite a big government push to sign up bank-account holders, many hurdles prevent people from using them. This rapid growth has been driven by Prime Minister Narendra Modi‘s flagship Jan Dhan – or “people’s wealth” – programme, which opened more than 355 million accounts in India’s state and private sector banks in five years. Government figures show that 83 percent …

Digital payments will grow phenomenally despite risks, says Dilip Asbe
5 years, 11 months ago

Digital payments will grow phenomenally despite risks, says Dilip Asbe

Live Mint  

Mumbai: Cybersecurity and lack of consumer awareness are threats to growth of digital payments in India, said Dilip Asbe, managing director and chief executive officer of the National Payments Corporation of India. India’s digital payment system would see phenomenal growth as challenges to greater adoption of such payments are addressed gradually, Asbe said. In a cash-driven economy like India, we …

Financial access counts, but transactions matter most
6 years, 1 month ago

Financial access counts, but transactions matter most

Deccan Chronicle  

India’s flagship financial inclusion programme — Pradhan Mantri Jan Dhan Yojana — launched in 2015 with a mission to provide a basic account to every adult— has significantly changed the demographics. According to the World Bank’s Global Financial Inclusion Database, or Global Findex report 80 per cent Indian adults now have a bank account — 27 points higher than the …

Tokenisation of card payments can simplify and secure financial transactions, services for merchants, consumers
6 years, 2 months ago

Tokenisation of card payments can simplify and secure financial transactions, services for merchants, consumers

Firstpost  

Tokenisation is a process aimed at increasing the security and safety of payment systems by replacing the card details with a unique alternate payment ID or code termed as a ‘token'. In its guidelines which the RBI announced on 9 January, 2019, the central bank has allowed card payment networks like Visa, MasterCard, and India’s RuPay, among others, to offer …

2030: A banking odyssey
6 years, 3 months ago

2030: A banking odyssey

Live Mint  

Consider this scenario—it is 2030. Banks who can make the transition to being ecosystem orchestrators, will be able to embed their banking services in the non-banking journeys of their customers, making access to banking more convenient.In exchange, they would get a more comprehensive source of digital data to understand their customers better. Existing successful banks with strong customer franchises could …

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