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  4. Vol 8, Issue 1, 2025

AI for Financial Inclusion: Bailing out the Unbanked in China

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DOI: 10.23977/jaip.2025.080108 | Downloads: 16 | Views: 564

Author(s)

Linlan Zou 1

Affiliation(s)

1 The University of New South Wales, Sydney, Australia

Corresponding Author

Linlan Zou

ABSTRACT

The purpose of this study is to explore the role of artificial intelligence (AI) in promoting financial inclusion for the unbanked population in China. Based on reviewing the literature related to theories of financial inclusion and AI in financial inclusion, this study adopted a quantitative research methodology to carry out an online questionnaire survey on 62 valid participants, including bank staff, unbanked individuals, and banking users to understand their perceptions of AI-driven financial services, AI’s impacts on financial access for the unbanked population, and challenges in adopting AI for financial inclusion. The findings show that most participants recognised the convenience of AI-driven financial services, the ease of use of AI-driven banking applications, the security of AI systems in handling financial transactions, and AI-driven financial services’ protection of personal data privacy. In addition, AI-driven financial services made the Chinese unbanked population easily access banking services at low costs, get loans through AI-driven credit evaluation, and offer personalised financial products. However, financial institutions faced a digital divide, lack of digital literacy, privacy and security challenges, and ethical challenges when adopting AI for financial inclusion.

KEYWORDS

Artificial Intelligence (AI), financial inclusion, unbanked population, China

CITE THIS PAPER

Linlan Zou, AI for Financial Inclusion: Bailing out the Unbanked in China. Journal of Artificial Intelligence Practice (2025) Vol. 8: 59-66. DOI: http://dx.doi.org/10.23977/jaip.2025.080108.

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