INNOVATIVE APPROACHES: LEVERAGING BIG DATA ANALYTICS FOR CREDIT RISK MANAGEMENT IN INDIAN BANKS

Abstract

In recent years, the proliferation of data and advancements in analytics techniques have revolutionized various industries, including the banking sector. This study aims to investigate the utilization of Big Data analytics in credit risk management within banking institutions in India. Through the quantitative analysis, the study examines the extent of adoption of Big Data analytics tools and techniques by banks for credit risk assessment and mitigation strategies. Furthermore, it evaluates the effectiveness of these analytics-driven approaches in enhancing the accuracy and efficiency of credit risk management practices. Additionally, the qualitative aspect of the research delves into the challenges and opportunities associated with the implementation of Big Data analytics in credit risk management. Through in-depth interviews with key stakeholders, including risk managers, data scientists, and regulatory authorities, the study explores the organizational, technical, and regulatory factors influencing the adoption and integration of Big Data analytics solutions in banking institutions. The findings of this study contribute to the existing body of knowledge by offering insights into the evolving landscape of credit risk management in the Indian banking sector. “By identifying best practices and addressing potential barriers to implementation, the research aims to assist banking institutions in harnessing the full potential of Big Data analytics to effectively mitigate credit risks while optimizing decision-making processes.