This paper explores how Artificial Intelligence can transform microfinance to promote social inclusion and value creation for immigrant communities. Despite immigrants’ significant potential to contribute to local economies, they often encounter substantial barriers to accessing formal financial services, including limited credit histories, regulatory challenges, and cultural or linguistic differences. AI technologies, particularly machine learning, predictive analytics, and Natural Language Processing, provide innovative pathways to overcome these challenges by enabling inclusive credit scoring, automated multilingual support, and scalable, personalized financial services.
Employing a Systematic Literature Review guided by Preferred Reporting Items for Systematic reviews and Meta-Analyses and structured through the Population, Intervention, Comparison, and Outcome framework, this study critically evaluates 52 peer-reviewed sources to assess the effectiveness and impacts of AI-driven microfinance compared to traditional microfinance methods. Findings indicate that AI significantly enhances financial accessibility, facilitates immigrant entrepreneurship, and fosters broader social inclusion through culturally and linguistically adapted financial solutions.
A central contribution of this research is the integration of the Intellectual Capital framework, comprising human, structural, and relational capital, to examine the essential conditions for successful AI adoption in microfinance institutions. Human capital is crucial for developing skills in ethical AI deployment, structural capital ensures robust technological infrastructures, and relational capital builds essential trust between institutions and immigrant communities, thus ensuring sustainable and inclusive outcomes.
This study aligns with Sustainable Development Goals 8 (Decent Work), 9 (Industry, Innovation, and Infrastructure), and particularly SDG 10 (Reduced Inequalities). It provides actionable insights and strategic recommendations for financial institutions, policymakers, and fintech firms. To realize AI’s full potential in immigrant social inclusion, the paper emphasizes the necessity of ethical AI frameworks, targeted capacity-building initiatives, and trust-based service models, ultimately contributing to more inclusive and equitable societies.