New Delhi, Aug. 11 -- Artificial intelligence could reshape the way banks evaluate creditworthiness by allowing lenders to use a wider range of data to assess borrowers, Reserve Bank of India Governor Sanjay Malhotra said at the FIBAC 2026 conference.
Malhotra said AI has the potential to widen the pool of customers considered eligible for formal credit, particularly people who are new to borrowing or have limited conventional credit records.
"Instead of relying solely on traditional credit histories, AI-based models can analyse indicators such as cash flows, GST records and utility bill payments to build a broader picture of a borrower's financial behaviour. This could enable banks to serve sections of the population that have historical...