FinTech's Role in Enhancing Financial Inclusion and E-Governance

This study explores how financial technology, or FinTech, can improve e-governance and financial inclusion at the same time. Due to exorbitant fees, geographical obstacles, and strict documentation requirements, traditional banking systems frequently exclude low-income, rural, and marginalized groups. By offering accessible, inexpensive, and user-friendly financial services, FinTech innovations in particular, digital wallets, mobile money, and biometric authentication directly address these issues. Additionally, the efficiency, accountability, and transparency of social welfare and tax collection systems are greatly enhanced by the incorporation of FinTech into public service delivery (e-governance) through digitalized Government-to-Person (G2P) payments and electronic Know Your Customer (e-KYC) procedures. FinTech adoption is strongly positively correlated with greater financial access, lower transaction costs, and less corruption in government transfers, according to the available quantitative and qualitative data, including global financial inclusion metrics. The paper concludes that in order to fully realize FinTech's potential to create more equitable and effective financial and governmental ecosystems worldwide, regulatory support and investment in digital literacy are essential.