Transformative Insights On Fintech's Impact In India On National Fintech Day
On National Fintech Day, celebrated on 20 August, prominent figures from India's fintech landscape shared their insights on how the sector is reshaping the nation's financial landscape and propelling inclusive growth. The occasion offers an opportunity to recognise the transformative role of fintech in empowering individuals, enhancing financial inclusion, and revolutionising traditional business operations.
Subho Moulik, CEO, Appreciate Fintech: Fintech is redefining how Indians relate to money and financial services. The most fundamental challenge of fintech, namely digital payments, is arguably a solved problem now, given the number of robust solutions out there in the market. And it’s truly remarkable to see the kinds of financial tools some of the sharpest minds in the country are currently building. Given how many people’s lives these tools can change, the market opportunity for fintech is correspondingly huge in India, being estimated to be USD 1.3 trillion by 2025. The developments in this space are making the promise of greater financial inclusion, easier access to investment and lending products, and improved financial literacy - all a reality. It’s safe to say that a financial revolution is currently underway in India, and it’s fantastic that we now have a special day set aside to mark this fact.
Sanjeev Kumar, Co-Founder, Executive Director & CEO, Spice Money: India’s fintech industry has witnessed an unprecedented surge in recent years. Bolstered by the government's clear vision for the sector and pioneering initiatives like UPI, which has exceeded 300 million daily transactions, along with the transformative JAM trinity, ONDC, and OCEN, as well as the emergence of over 3000 fintech start-ups, has significantly contributed to this growth. The rising disposable income coupled with the digital financial revolution paves the way for the fintech sector and offers a golden opportunity to fintech players offering financial products for customers as well as nanopreneurs. Another sector that has added massive tailwinds to India’s economy is the MSME sector.
As of 2 August 2023, more than 12 crore individuals were employed by the MSME sector. The Ministry of Micro, Small, and Medium Enterprises has been driving growth through diverse schemes. Recent support measures including the Rs 5 lakh crore Emergency Credit Line Guarantee Scheme (ECLGS), Rs. 50,000 crore equity infusion offered through the MSME Self-Reliant India Fund, and initiatives like ‘Champions’ and the RAMP programme have further augmented the sector's growth.
Rahul Pagidipati, CEO, ZebPay: The Fintech industry's revolutionary impact democratises access and empowers individuals to have control of their financial futures and build wealth. In addition to its impact on individuals, fintech has also transformed the way businesses operate. It has streamlined payment processes, facilitated faster and more secure transactions, and provided businesses with valuable insights through data analytics. Fintech's integration has empowered enterprises to optimise their operations, enhance efficiency, and elevate customer experiences, thereby fostering growth and promoting innovation across diverse industries. The horizon of fintech in India gleams with promise, a sentiment underscored by a recent report from EY that states that India's fintech sector is projected to witness a substantial surge in revenue, aiming to reach USD 200 billion by 2030, compared to the USD 50 billion recorded in 2021. These projections show the transformative potential of fintech to reshape traditional financial paradigms. National Fintech Day echoes as a steadfast call to action, for governments, financial institutions, and tech enterprises to forge collaborative alliances and cultivate an enabling environment for further innovation. By fostering a regulatory framework that balances innovation and consumer protection, we can unlock the full potential of fintech and ensure that its benefits are accessible to all.
National Fintech Day serves as a reminder of the ongoing fintech revolution in India and an invitation for stakeholders to come together, innovate, and work towards maximis\]ing the sector's potential for the benefit of all.
