THE IMPACT OF AI ON FINANCIAL INCLUSION IN EMERGING MARKETS

Abstract

This comprehensive article examines the transformative role of Artificial Intelligence (AI) in promoting financial inclusion within emerging markets. It explores how AI-driven fintech solutions, including credit scoring, chatbots, and fraud detection systems, are overcoming traditional barriers to financial access. The article delves into AI's impact on addressing geographical constraints, simplifying documentation requirements, and enhancing financial literacy. It further analyzes the socioeconomic implications of AI-powered financial inclusion, highlighting its contributions to economic empowerment, gender equality, and poverty reduction. The article also addresses the challenges faced in deploying AI in emerging markets, such as data privacy concerns, infrastructure limitations, and regulatory hurdles, while proposing potential solutions to these issues. Through a comprehensive analysis of real-world examples and case studies, this research underscores the significant potential of AI in creating more inclusive financial ecosystems in developing economies.