Transforming towards inclusion-by-design: Information system design principles shaping data-driven financial inclusiveness

Digitalization and datafication of financial systems result in more efficiency, but might also result in the exclusions of certain groups. Governments are looking for ways to increase inclusions and leave no one behind. For this, they must govern an organizational ecosystem of public and private parties. We derive value-based requirements through a systematic research methodology and iteratively refine design principles for achieving inclusivity goals. This refinement process is enriched by interviews with field experts, leading to the formulation of key Design principles: the essential role of inclusive metrics, leveraging alternative data sources, ensuring transparency in loan processes and the ability for decision contestation, providing tailored credit solutions, and maintaining long-term system sustainability. The government's role is to ensure a level playing field where all parties have equal access to the data. Following the principles ensures that exclusion and discrimination become visible and can be avoided. This study underscores the necessity for system-level transformations, inclusion-by-design, and advocacy for a new system design complemented by regulatory updates, new data integration, inclusive AI, and organizational collaborative shifts. These principles can also be used in different data-driven governance situations. • Inclusion requires a transformation of the whole system. • Alternative data can result in financial inclusion. • A balance between inclusivity and risk should be made. • Inclusion must consider the equitable allocation of resources across various segments of society. • Risks/benefit calculation can result in exclusion.