Logging into Digital Banking: Creating Access, Transforming Lives

This paper contemplates on the issues and challenges being faced by information technology and telecom companies in providing a platform for financial inclusion. It discusses the way forward and provides recommendations for banks and other financial institutions that are planning to invest in their digital capabilities to improve services for their existing customers and increase access to the underserved. The paper also identifies trends in the use of technology among global banks to cater to evolving business dynamics and customer preferences. It seeks to help regulators, telecom and technology companies, and other stakeholders gain a better understanding of the mobile revolution in banking. It covers the following sections in detail:

• Evolution of financial inclusion with a focus on India;
• Role of non-banks in furthering financial inclusion;
• Scope of using digital transactions to expand access and promote inclusive growth;
• Role of policy makers and regulators in promoting digital payments;
• Recent policy initiatives in India including the Pradhan Mantri Jan Dhan Yojana, Aadhar, and Digital India Campaign;
• Future trends in digital banking that are expected to accelerate financial inclusion;
• Strategies for banks to successfully participate in the transformation of India into a digital economy.