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How AI is Reshaping Digital Lending in India

India’s lending ecosystem is undergoing a radical transformation driven by AI-powered digital lending platforms. While MSMEs account for nearly 30% of India’s GDP, they continue to face a ~₹30 lakh crore credit gap, says SIDBI’s MSME May 2025 report. Financial institutions are now turning to AI to bridge the divide and capture new growth. 

How AI is Reshaping Digital Lending in India

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