Emergence of new technologies is rapidly changing the global market in finance. Because of these changes customers are also evolving, and the banking sector is growing at an unprecedented pace. But there are still many parts of the world where many people do not have bank accounts. Through further financial inclusion, the scope of banking can grow further. This can be done by providing simple services like savings accounts and credit to these people regardless of their level of income feels Bahaa Abdul Hussein.
Cloud Banking
Banks, Fintechs and other financial institutions need a large volume of computing services. Cloud banking is the process of hosting these services remotely and providing access to these institutions through the internet. So cloud computing needs servers, data storage and communication. It also provides networking, applications and data analytics.
Cloud Banking As A Tool In Financial Inclusion
Cloud banking is flexible and scalable. It is also highly resilient and maintains operational integrity. Banks and financial companies can use it at low cost. This is because cloud banking allows for sharing of resources. This is why cloud banking can increase financial inclusion. It can allow people at lower income levels from all across the world to access banking services at low charges. There are many factors that make cloud banking indispensable for financial inclusion.
Low Cost
Using cloud banking financial institutions can scale up their operations at very low costs. They can also provide a diverse range of services to their clients and tailor them to their client’s needs. With cloud computing this can be done while maintaining operational resilience. So people in places where there is low access to banking services can transfer money and get loans at low charges. This means people from low income groups can access these services as well.
Scope For Innovation
Cloud banking has a large scope for innovation in financial services which can drive financial inclusion. Many companies from large to small, provide expertise in the area of cloud banking. They help banking institutions meet the specific needs of their client base. This can include advanced payment options for Fintechs or small businesses. So it can reduce bureaucracy and help drive socioeconomic progress for low income groups.
Change In Policy
Changes in policies are happening across the world to aid digital finance. This is helping cut down red tape and outsource frameworks for cloud services. So financial inclusion is possible through novel infrastructure services from cloud service providers. This can help banks and financial institutions to undergo digital transformations.
Inclusion of more people in banking is inevitable. Cloud banking is going to make this transition smoother by reducing costs and driving innovation. Thank you for your interest in Bahaa Abdul Hussein blogs. For more information, please stay tuned to www.bahaaabdulhussein.com
