Study about Digital Financial Services: Opportunities and Risks During COVID-19 Pandemic

Abstract

During the COVID-19 pandemic digital financial services came into limelight and gave significant fillip to consumers digital- centric financial activities and changing consumers using habits of fintech services during the lockdown period and the need of social distance over the last couple of years, the result is that more new consumers have influenced to use digital financial services for meet their basic financial needs such as saving, payments, credit, insurance etc. A great number of families and organizations were able to quickly access online payment and other financing operations as a result of the epidemic, which created potential and problems for extending digital financial inclusion. During the course of the pandemic, governments had raced to give financial help to local inhabitants. This paper studies the opportunities and risks that financial technology innovation presents during the COVID-19 health crisis due to enhanced usage of digital financial services. This paper also focuses on the country’s strategy during the global crisis to manage which is useful to expanding digital financial services.