India’s fintech market is now the third largest globally, boasting 26 unicorns and 120 potential soonicorns, valued collectively at over USD 120 billion, according to the report. It highlights that around 1,400 companies have successfully raised more than USD 31 billion, indicating a new wave of growth as these firms prepare for public listings.
JM Financial, in collaboration with Beams Fintech Fund, has released a report titled "India's Fintech Journey: From Evolution to Mega Public Listings." The report emphasises the significant progress made by the Indian fintech sector over the past decade, showcasing its rise as a global leader in innovation and development.
The report also evaluates these companies' positions and sets benchmarks against their peers to attract suitable investors, especially as new business models emerge. Key highlights from the report include the foundation and growth of the Indian fintech industry, the role of digital public infrastructure and regulatory frameworks in supporting fintech expansion, and the presence of 26 fintech unicorns, including one decacorn, with a total market value of USD 90 billion.
Digital lending has been identified as the most scalable sector within fintech, while new technology-focused wealth management firms are expected to drive significant growth. The report also predicts exponential growth in BFSI SaaS as innovation takes centre stage in India.
Notably, listed fintech companies have outperformed the Nifty50 and Bank Nifty indices, and private equity and venture capital returns in select Indian listed fintechs have shown promise. The report outlines essential factors for a successful initial public offering (IPO), encouraging fintech firms to leverage their strengths and explore new opportunities in the evolving market. Abhishek Bhagat, Managing Director of Digital and Technology at Investment Banking, curated the report, which serves as a valuable resource for understanding the future of fintech in India.
