Role of Fintech in Agricultural Lending and Rural Credit

Abstract

This research paper explores the pivotal role of financial technology (Fintech) in transforming agricultural lending and improving access to credit in rural India. Traditional rural banking faces persistent challenges such as documentation hurdles, high transaction costs, and limited outreach. Fintech offers innovative solutions by integrating technologies like mobile banking, e-KYC, AI-driven credit scoring, and satellite data analytics. This study combines insights from primary observations during an internship at the State Bank of India (SBI), supported by secondary data from RBI, NABARD, and NPCI. The paper assesses current practices, highlights successful use cases, and proposes recommendations for scaling fintech-enabled rural finance.