How mobile money is empowering rural India

Summary: Mobile money is ensuring financial inclusion and bringing change all over India. Considering rural India's untapped potential how much more can we grow? Let’s explore.

24 Jul 2022 by Team FinFIRST

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Over the last decade, India has achieved stellar economic growth. Presently, we are the world's fifth-largest economy, and there is yet considerable untapped potential for progress. And what is our greatest natural asset? Our people!

Considering that 65% of the Indian population is still rural, progress is not possible unless change is driven at the grassroot level.

Rural India needs financial education, support, and access, all of which are possible with money on mobile. Here's how.

Financial Inclusion

With complete digitalisation of financial banking services, no matter where citizens are, they can open a digital bank account with any rural banking channel as mandated by the RBI. Specially designed 'Basic Savings Bank Deposit Account' (BSBDA) ensures that citizens can access a suite of financial services at no extra cost.

Hassle-Free Bank Accounts

The widespread use of smartphones allows a bank account to be opened in minutes with digital KYC, and facilitates instant money transfer via UPI. Banks are able save on infrastructure and operational costs, and pass on the benefits to the customer through value-added services and account features.

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Impetus to the Rural Economy

As a larger chunk of the population gets comfortable with mobile money, the cycle of digital transaction permeates every aspect of life, including business and commerce. With money on mobile, rural businesses can quickly reach a larger audience, improve cashflow, and better analyse financial data that comes ready and compiled.

Better Access to Economic Facilities

With a digital bank account, people don't have to worry about getting their wages on time or receiving pension and insurance benefits. A host of financial services can be seamlessly integrated with the mobile app. This also makes it easier for citizens to apply for other government schemes and loan products.

Value-Added Services

In addition to money transfer from mobile, citizens can benefit from various value-added services. They can pay their utility bills, shop online, pay taxes, and even make investments from their handheld device.

Conclusion

Rural India is – and will continue to be – the backbone of our economy. Mobile money allows us to drive inclusive sustainable growth that creates better economic opportunities. This can redirect income distribution and consumer spending cycles, thereby helping to ramp up growth.

Mobile money is not just a transaction tool, but rather a potent means to bring about change. With this view, IDFC FIRST Bank has introduced its innovative and intuitive mobile banking app. Along with an easy account opening process, the app provides a full suite of financial services from money transfer, UPI and QR-enabled transacting, to bill payment, loan requests, and even mutual fund and insurance investments.

Download the IDFC FIRST Bank mobile banking app and get started on your journey towards financial independence today!

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.

The features, benefits and offers mentioned in the article are applicable as on the day of publication of this blog and is subject to change without notice. The contents herein are also subject to other product specific terms and conditions and any third party terms and conditions, as applicable. Please refer our website www.idfcfirst.bank.in for latest updates.