Aye Finance Limited has successfully completed a pilot program utilizing Generative AI (Gen AI) technology to enhance its credit assessment for trading businesses in Tier 2 cities and beyond. This in-house developed solution employs Gen AI and Machine Learning (ML) models to estimate business sales directly from images of store premises and other parameters. This innovation aims to significantly reduce the "cost-to-serve" for the micro-enterprise segment by transforming unstructured data, specifically store images, into actionable financial insights. The system is built on Aye Finance's extensive internal datasets and uses a Multimodal Large Language Model (MLLM) integrated with proprietary ML models to reliably estimate monthly sales. This breakthrough reduces reliance on subjective judgment, standardizes income estimation, and accelerates credit decision-making. Mr. Sanjay Sharma, Managing Director of Aye Finance Ltd., stated that this Gen AI integration builds on their operational efficiency, enabling a data-driven system that increases both the speed and reliability of credit decisions. This technology-supported approach illuminates the lending opportunities in the micro-enterprise sector. Aye Finance, an NBFC-ML, has been addressing the credit challenges of micro-entrepreneurs since 2014. The company, which received equity investment from Google Capital in 2018 and established its Data Science and AI Unit in 2019, recently raised ₹1,010 crores through an IPO to strengthen its capital base.
