Financial literacy and inclusion are essential to economic development, as they facilitate access to financial services and empower individuals to make informed decisions about their money. Despite India's impressive economic growth in recent years, a significant portion of the population, particularly low-income households, struggles with financial literacy and access to financial services. Financial technology (fintech) has emerged as a potential solution to address these challenges by providing innovative and accessible financial services to underserved communities.

This paper examines the role of fintech in enhancing financial literacy and inclusion among low-income households in India. The study is based on a comprehensive review of existing literature and interviews with key stakeholders in the Indian fintech industry.

The analysis reveals that fintech has the potential to significantly improve financial literacy and inclusion among low-income households in India. One key advantage of fintech is its ability to provide low-cost and convenient financial services, such as mobile banking and digital payments, which can help to reduce the financial barriers faced by low-income households. Additionally, fintech platforms can offer financial education and training programs to increase financial literacy and promote responsible financial behavior.

Despite these benefits, however, several challenges are associated with using fintech to promote financial inclusion and literacy in India. One major obstacle is the need for digital infrastructure and internet connectivity in many rural areas, which limits access to fintech platforms. Additionally, there is a need for increased regulation and oversight of the fintech industry to ensure that consumers are protected from fraud and other risks.

To overcome these challenges, the study recommends several policy measures that can support the development of fintech in India, including investment in digital infrastructure, the promotion of financial education and literacy programs, and the establishment of regulatory frameworks to ensure consumer protection and prevent fraud.

In conclusion, fintech has the potential to play a significant role in enhancing financial literacy and inclusion among low-income households in India. However, to fully realize these benefits, policymakers must address the challenges associated with fintech adoption and ensure that fintech platforms are developed responsibly and sustainably. By doing so, India can significantly promote inclusive economic growth and reduce poverty and inequality.