NBFCs should adopt Analytics, AI, ML for competing

Krishnamurthy Subramanian, Chief Economic Adviser, Government of India, stresses that technology usage can be far wider in the financial sector:

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The Indian financial services sector has the potential to lead the economic growth, believes Dr Krishnamurthy Subramanian, Chief Economic Adviser, Government of India. He maintains that no country has been able to grow fast over a long period of time without the financial sector leading the growth and this sector should have a growth rate of 1.5 times as compared to the country’s growth rate. “In India, the financial sector has to lead the growth,” he adds.

Addressing the virtual session of FICCI’s 1st NBFC Summit – ‘NBFC Sector in India: Preparing for the post covid world’ - recently, Dr. Subramanian emphasized the need for NBFCs to use data analytics, AI, and ML on a sustained basis in order to become globally competitive. “This is where the opportunity and disruption are happening, especially the way the economy is digitizing in India. The use of technology can be far higher in the financial sector. While these technologies are used extensively in retail lending, they are not commonly used in large corporate lending,” he added.