Digital Banking is the next era of banking.....

Early 1980 seen a different era in banking post COVID. The entire banking is been shifted slowly and slowly towards the digitization which is key for the future banking.

AI, Fintech started providing the advances, digital currency these are fetching the transactions from physical mode to digital mode things are changing in he much rapid way and very dramatically from past times.

One of the key advantages of digital banking lies in its ability to bridge the gap between the urban populace and the unbanked or underbanked, especially in rural areas.

Digital banking has enabled individuals, regardless of their geographical locations and strata, to access essential banking services conveniently. With a smartphone and internet connection, individuals can open bank accounts, make transactions, check balances and even avail themselves of credit facilities. This convenience eliminates the need for physical visits to banks, which can be time-consuming and logistically challenging for those residing in remote areas.

Furthermore, it has facilitated the direct transfer of government subsidies and welfare benefits to individuals, reducing leakages and ensuring that funds reach the intended beneficiaries efficiently.

Another significant aspect of digital banking’s impact on financial inclusion is the availability of digital payment solutions. Digital wallets and mobile payment platforms have gained immense popularity, allowing individuals to make transactions, pay bills and shop online without physical currency. This has particularly benefited the unbanked population, who previously relied heavily on cash transactions.

In the context of financial inclusion, digital banking also offers opportunities for micro, small and medium-sized enterprises (MSMEs) and entrepreneurs. Digital lending platforms, enabled by digital-banking infrastructure, provide easier access to credit for these businesses, which often face challenges obtaining loans through traditional channels. This access to finance allows MSMEs to grow, invest and contribute to the nation’s job creation and economic development.