Aadhaar in my opinion will improve Financial Inclusion in India.
A similar experiment is ongoing in Nigeria (projected to be the 3rd most populated country in 2050) with the National ID Mgt Commission. A biometric based ID will be issued and a National ID Number issued. The 11-digit number will be the basis for KYC in the financial sector.
Lenders will be more comfortable with clients who have verifiable ID and can thereby build credit history.