Big Data and Artificial Intelligence for Financial Inclusion: Benefits and Issues

Abstract

This paper discusses the benefits and issues associated with big data and artificial intelligence (AI) for financial inclusion. The benefits of artificial intelligence and big data for financial inclusion are: improved efficiency and risk management for financial services providers; the provision of smart financial products and services to banked adults; simplification of the account opening process for unbanked adults and the creation of credit scores for unbanked adults using alternative information. Several issues associated with artificial intelligence and big data for financial inclusion that need to be addressed include: the shortage of skilled AI workers, increase in the level of unemployment in the financial ecosystem, the unconscious bias in the design of artificial intelligence systems, and other barriers caused by strict data privacy laws.