• Nikita Khatana
• Komal Sharma
• Naveen Kumar

The Indian banking sector has witnessed substantial development in volume and complexity of digital transactions in the past decade but still a gap exists in the provision and access of financial services. One of the initiatives introduced by the RBI is the concept of Payment Banks, aimed at providing basic banking services to underserved populations, particularly in semi- rural and rural areas among economically disadvantageous and marginalized sections. This research paper explores the significant role of payment banks play in promoting financial inclusion. The proposed study conducted relied on secondary data and is descriptive in nature. This paper highlights the various ways payment banks can effectively enhance financial inclusion and assesses the progress and accomplishments of the payments banks and concluded that they play a crucial role in delivering subsidies directly to beneficiaries' accounts. Competition between traditional and payment banks can lead to improved banking services at reduced costs, further promoting financial inclusion. However, certain bottlenecks must be addressed to fully unlock the benefits of payment banks. empowering individuals and communities to participate in the broader economy.

Payment bank, Financial Inclusion, Financial Performance, Digital Transaction

"Payment Bank as a Driving Force for Financial Inclusion: Assessing the Role and Financial Performance of Payment Banks", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.10, Issue 5, page no.n60-n64, May-2023, Available :http://www.jetir.org/papers/JETIR2305D12.pdf

"Payment Bank as a Driving Force for Financial Inclusion: Assessing the Role and Financial Performance of Payment Banks", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.10, Issue 5, page no. ppn60-n64, May-2023, Available at : http://www.jetir.org/papers/JETIR2305D12.pdf