Abstract
Technology has the potential to revolutionize the microfinance sector in India by improving service delivery, expanding outreach, and enhancing operational efficiency. This paper explores the role of technological innovations in microfinance, focusing on how digital platforms, mobile banking, and other technological advancements are transforming the sector. We examine the current state of technology integration in microfinance institutions (MFIs), highlighting successful case studies and the benefits of adopting modern technologies. Additionally, the paper addresses the challenges faced by MFIs and their clients in implementing and utilizing these technologies, including Regular Issues related to digital literacy and infrastructure. Looking forward, we discuss emerging technologies such as block chain and artificial intelligence, and their potential to further enhance microfinance services. The paper concludes with strategic recommendations for leveraging technology to optimize the impact of microfinance in India, emphasizing the need for supportive policies and continued innovation. Keywords: Microfinance, Technology Integration, Digital Platforms, Mobile Banking, Financial Technology (Fin tech).
References
- Agarwal, S., & Jaisingh, M. (2020). "Microfinance in India: Role of Technology in Financial Inclusion." Journal of Financial Services Research, 58(1), 33-56.
- Armendariz, A., & Morduch, J. (2010). The Economics of Microfinance. MIT Press. ISBN: 978-0262015601.
- Burgess, R., & Pande, R. (2005). "Do Rural Banks Matter? Evidence from the Indian Social Banking Experiment." American Economic Review, 95(3), 780-795.
- Chakrabarty, K. C. (2012). "Financial Inclusion and Development: The Role of Technology." Economic & Political Weekly, 47(24), 19-22.