FINTECH CHALLENGES FOR URBAN POVERTY: AN ANALYTICAL STUDY

DOI: https://doie.org/10.65985/APER.2026449217

Authors:

Dr. Ruchi Gupta, Dr. Jayant Isaac, Dr Ruchi Pandey, Prof.D.Shadangi

Keywords:

Fintech, Urban Poverty, Financial Inclusion, Digital Divide, Financial Literacy, Regulatory Challenges, Algorithmic Exclusion, Economic Inclusion.

Abstract:

The rise of Fintech as a tool to enhance financial inclusion presents new opportunities for efforts to address urban poverty. But this potential is accompanied by a range of issues that must be resolved if the benefits of Fintech are to flow through to the people who need them most. In this paper, we highlight several key challenges in the Fintech ecosystem that disproportionately affect urban poor, such as the digital divide, financial literacy, regulatory barriers, and the risk of algorithmic exclusion. The digital divide is even more stark in urban contexts where the use and understanding of digital tools is unevenly present, oftentimes at the expense of the economically less-fortunate. For example, combined with a basic lack of financial knowledge, these communities are also severely handicapped in relation to the accessibility and application of Fintech instruments. Regulatory hurdles arise too as the boom in Fintech& development outstrips existing financial regulations and statutes to be exploited by the entire segments of the society. Automatic Fintech judgments may unintentionally exclude persons with inadequate financial resources. The study argues that public-private collaboration among government, business, and community actors is essential for inclusive Fintech innovations, regulatory frameworks, and financial education. This concept aims to use Fintech as a tool for economic inclusion among the urban poor, rather than a barrier.

PDF