Abstract

This paper presents a conceptual analysis of the challenges associated with implementing digital microfinance in India a country with a vast and diverse socio-economic landscape. Despite the rapid advancements in digital technology and the growth of financial inclusion initiatives digital microfinance faces significant barriers that hinder its effectiveness and reach. This analysis examines the socio-economic infrastructural and regulatory factors that contribute to the difficulties of digital microfinance in India. Key issues explored include digital illiteracy among rural populations inadequate internet and mobile connectivity and the regulatory environment that may not fully support or address the unique needs of microfinance institutions. By synthesizing existing literature and case studies the paper aims to provide a comprehensive understanding of why digital microfinance is challenging to implement effectively in India and suggests potential areas for policy intervention and furt