Digital Finance –Recent Trends and Future in India

Abstarct:

Digital trends are changing the consumers’ demands and expectations, the way the business must operate, and the talent dynamics in the market. Digital finance is a game-changer in the finance sector, offering limitless opportunities for innovation, increased market efficiency and transparency, and sustainable development. By embracing digital finance, businesses and individuals can enjoy a more inclusive financial system that enables them to achieve their financial goals effectively and efficiently. Digital finance literacy is a vital component of the cashless economy. Digital financial services are a whole lot of financial services that are offered in digital channels like PoS, ATM, Cash deposit Machine, etc with the internet facility. These services are delivered and accessed via the internet only. This also includes personal mobile banking services like M-Pay, M-Money which provides both transactional and non-transactional services. This research paper is based on the secondary data sourced from books, research papers, journals, magazines, articles and published reports. Different aspects of need of digital finance, role of fintech and India’s present position and future regarding digital finance. The objective of the study is to understand the concept of digital finance and role of Fintech and to study the India’s recent position and future requirements regarding digital finance.

One of the major objectives of Digital India is to achieve Faceless, cashless & paperless status. The promotion of digital payments has been accorded the highest priority by the Government of India to bring each and every segment of our country under the formal fold of digital payment services. The vision is to provide the facility of seamless digital payment to all citizens of India in a convenient, easy, affordable, quick and secured manner. The Indian government's push towards digitalisation has been a major driver of the growth of the digital finance industry. Initiatives such as Digital India, Jan Dhan Yojna, and Aadhaar have created a digital infrastructure that allows for seamless and secure transactions. India has seen a significant increase in smart phone and internet penetration in recent years, which has enabled the adoption of digital financial services. Digital financial services can also fill the gap in improving access to financial services through the G20 High-Level Principles for Digital Financial Inclusion. In Future for financial inclusion of all i.e. Rural and Urban Digital Financial Literacy (DFL) is an essential requirement for the effective usage of Digital Financial Services (DFS) and DFL is an important component of education in this digital age.