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International Journal of Trend in Scientific Research and Development (IJTSRD) ISSN: 2456International Journal of Trend in Scientific Research and Development (IJTSRD) ISSN: 2456International Journal of Trend in Scientific Research and Development (IJTSRD) ISSN: 2456-6470 | IF: 4.101

No one can hide crores of rupees in banks and just No one can hide crores of rupees in banks and just digitalization. Also, India’s demographic share is well , India’s demographic share is well
act middle class. Privacy may have to be act middle class. Privacy may have to be suited to switch to digital behavior, with the median suited to switch to digital behavior, with the median
compromised. age of an Indian expected to be 29 years by 2020 and ndian expected to be 29 years by 2020 and
900 million population falling in the age group of 1500 million population falling in the age group of 15-
9
III. TECHNOLOGICAL DEVELOPMENTS TECHNOLOGICAL DEVELOPMENTS 60 years by 2025.People have enthusiastically started 60 years by 2025.People have enthusiastically started
IN INDIAN BANKING u
using technology to do banking transactions and sing technology to do banking transactions and
Digital Collaboration benefit other services because they want more enefit other services because they want more
b
We will be part of our not-so-distant future when we distant future when we suitability at the cost of giving extragiving extra price.
expect driverless cars and robots, it should be equally expect driverless cars and robots, it should be equally
direct for us to visualize a future banking system with direct for us to visualize a future banking system with 2. Unpenetrated areas and government initiativesUnpenetrated areas and government initiatives
its own form of artificial intelligence (AI).its own form of artificial intelligence (AI). Around 50% of the non-banked population is directed banked population is directed
and developing towards the goal of financial presence. nd developing towards the goal of financial presence.
a
AI-enabled tools such as chatbots have been already enabled tools such as chatbots have been already Due to some government initiatives, banks have Due to some government initiatives, banks have
a
implemented by banks to interact with customers, but banks to interact with customers, but incredible opportunities pportunities and nd advantages dvantages i in n
o
a
that is just the point of what is to come.AI has the that is just the point of what is to come.AI has the implementing digital infrastructure.With Rs. 500 implementing digital infrastructure.With Rs. 500
potential to modify organizations on an extraordinary potential to modify organizations on an extraordinary billion being targeted to be transmitted directly under billion being targeted to be transmitted directly under
scale, from virtual financial assistants to computerized scale, from virtual financial assistants to computerized DBT (Direct Benefit Transfer), around 160 million DBT (Direct Benefit Transfer), around 160 million
credit scoring and predictive analysis. accounts have been opened under PMJDY (Pradhan ccounts have been opened under PMJDY (Pradhan
a
Mantri Jan DhanYojna).
Mr. Jones explains: “From a customer point of view, lains: “From a customer point of view,
machine-learning is starting to enhance their learning is starting to enhance their 3. Leveraging increased smartphone usage and 3. Leveraging increased smartphone usage and
experience in smart ways, quickly and efficiently experience in smart ways, quickly and efficiently mobile penetration
Mobile phones are likely to lead the digital growth in obile phones are likely to lead the digital growth in
resolving their problems. M
I India, because the youth of India prefer to use smart ndia, because the youth of India prefer to use smart
Machine-learning and AI will allow banks to spot learning and AI will allow banks to spot phones rather than stand in long queues to phones rather than stand in long queues to
outlines and solve customer problems at a segoutlines and solve customer problems at a segment of avail banking services. MobileMobile perception of around
the current speed in a very cost-efficient manner. This efficient manner. This 90% is likely to drive financial insertion.90% is likely to drive financial insertion. The existing
second wave of interruption will have a powerful second wave of interruption will have a powerful and predictable widespread reach of smart phones in and predictable widespread reach of smart phones in
influence, transforming the banking industry and with influence, transforming the banking industry and with the country provides a disthe country provides a disruptive and low-cost
it the customer journey. Banks should seize the it the customer journey. Banks should seize the medium, to extend the reach of banking and payments medium, to extend the reach of banking and payments
opportunities, when technology presents twhen technology presents to shift to the services. Refer the graphs below:services. Refer the graphs below:
next gear. Because time does not wait for any next gear. Because time does not wait for any
organization, people including banking sectors.organization, people including banking sectors.

F
Figure3: Number of Mobile Internet Usersigure3: Number of Mobile Internet Users

Figure2: Technological Developments in BankingFigure2: Technological Developments in Banking

Few Trends and Opportunities:
1. Changing consumer behavior in favor of Changing consumer behavior in favor of
digitalization
As the market is exposed to unsettling digital services, t is exposed to unsettling digital services,
it is now putting its hands on changing client it is now putting its hands on changing client

preference preference from from traditional traditional banking banking to to its its Figure4: Smartphone Penetration (in percent)igure4: Smartphone Penetration (in percent)
F

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