Leveraging artificial intelligence in enhancing financial inclusion for the un-banked and under-banked in India.

This paper aims to understand how Artificial Intelligence (AI) can help the financial sector, in general, promote financial inclusion. Artificial Intelligence (AI) has been growing at an unprecedented rate, thanks to a higher acceptance of new technological advancements. AI applications are being used in diverse fields, and the Banking, Financial Services, and Insurance (BFSI) Industry in India is one of the beneficiaries. The paper showcases the paradigm shifts due to the application of AI in the Indian Banking Sector compared to the earlier traditional banking mechanisms. AI applications, especially in the Banking Sector, benefit the underprivileged community greatly in helping them improve their access to credit lending, banking services and other critical information. The paper recommends using AI applications to ensure that the financially inactive/underprivileged sector participates in financial markets and benefits. Secondary Data is collected to gather information regarding the implementation of AI applications in the Banking and Financial Services industry and its impact on financial inclusion. The paper examines that artificial intelligence significantly affects financial inclusion, especially in solving information asymmetry, improving banking and credit services access to the underprivileged (low-income groups), providing customer service, and support through chatbots, fraud detection, and network security. [ABSTRACT FROM AUTHOR]