How Much Can India Target to Leverage from AI Underwriting for Inclusive Lending?

Generative AI is reckoned as a tool. It is moot to wonder of the use-cases from either an Indian or a banking context.

- ROHIT ARORA

There certainly are several benefits, but what matters is the amount of potential to upscale traditional banking or insurance by leveraging Gen-AI. A recent EY report claims Gen-AI could boost productivity in the Indian financial services context by as much as 34%. By 2030, this number jumps to 38%, and in banking operations alone it is a whopping 46%.

A study by Boston Consulting Group revealed that advancements such as Gen-AI could improve small business lending by 40%. That, if advancements such as Gen-AI can be paired and a system created to drive capital. To a country with the high-est number of smartphones, digital penetration, and success stories such as Jan Dhan, Aadhaar, and mobile; tools such as Gen-AI can be upscaled to qualitatively improve banking, lending, and even insurance penetration.