Ant International: Empowering Financial Inclusion Through AI
In an era of rapid technological advancement and digitalisation, the financial services industry is witnessing a seismic shift towards digital inclusiveness, driven by increased internet access and mobile technology.
However, access to financial services remains limited for many, particularly underserved individuals and SMEs.
Singapore-based Ant International has therefore pushed to bridge this gap by developing solutions to help its business partners address these discrepancies, through a combination of technology and extensive experience.
The power of AI in credit technology
With over two decades of expertise in providing inclusive and affordable financial services, the Credit Tech team in Ant International has developed a suite of AI-driven credit solutions and innovative methodologies to enable its partners—including banks, e-commerce platforms, e-wallets and fintech startups—to offer more accessible and tailored financial products to a broader audience.
The team supports its clients to enhance their own data processing, dynamic credit strategy and intelligent automated decision-making, enabling them to transform sparse data into reliable credit attributes and produce more accurate and nuanced evaluations of creditworthiness by implementing advanced modelling such as graph model and machine learning.
It offers a suite of automated credit decision-making tools to assist clients in managing risks associated with credit decisions. By automating the risk assessment process, Ant International enhances the efficiency of credit decision-making for its clients. This system capability is crucial in navigating the complex and varied financial landscapes across different regions and countries.
Expanding financial inclusion
The impact of AI-driven credit technology on financial inclusion has been profound. By partnering with local financial institutions and fintech companies, Ant International has significantly expanded its services in various markets, enabling greater access for underserved people and SMEs.
For instance, in Bangladesh, bKash has increased its eligible customer base by four to five times through its partnership with Ant International.
And in Brazil, Ant International has formed a strategic partnership with Dock, a leader in payments and banking technology in Latin America. This collaboration aims to enhance the credit management capability and infrastructure efficiency for Dock's clients, which include financial institutions, retailers, fintech start-ups, etc.
All with the goal to make credit services more accessible to underserved segments, including SMEs.
In Bangladesh, bKash has partnered with Ant International and other financial institutions to introduce an innovative digital nano loan, offering users instant access to small loans directly through its platform.
Ant International provides digital lending solutions and advisory support for AI-driven risk assessment, enabling bKash to effectively serve underserved customers, offering individuals and micro-entrepreneurs convenient access to credit services. As a result, bKash has increased its eligible customer base significantly.
As AI continues to evolve, its role in promoting financial inclusion is set to grow even further. "Developing countries have an unprecedented opportunity to leverage AI for tailored solutions to meet specific local needs," says Kamal Quadir, Founder & Chief Executive Officer of bKash Limited.
"AI has reached a point that solutions are affordable and scalable for countries like Bangladesh. When it comes to developing countries, they have a leapfrog scope to catch up by utilising AI.”
A more inclusive financial future
AI enhances credit access by leveraging digital footprints, machine learning and privacy preserving computing. But it’s important to view it as part of a comprehensive approach. A strong analytical foundation and the insight of experienced professionals are still vital.
"AI is a powerful tool for levelling the playing field for underserved SMEs,” Quan Yu, General Manager of Credit Tech, Ant International said. "However, AI is not a magic solution; it requires solid data infrastructure and cannot replace human judgement, especially in credit decisions involving long-term risks and unforeseen events. AI should complement, rather than replace, traditional credit assessment methods."
******
Make sure you check out the latest edition of AI Magazine and also sign up to our global conference series - Tech & AI LIVE 2024
******
AI Magazine is a BizClik brand
