Where is the Mammoth Fintech Market Headed in India?- An Insight

• Fintech stands for financial technology. Fintech provides alternative solutions for banking services and non-banking finance services.

• The Indian fintech industry has seen numerous startups entering in the past few years. With each startup, the industry has now grown a lot and also is making a name globally.

• The Indian fintech industry is made up of a lot of elements working together. This can be demonstrated by the following flow chart.

• The new start-up companies are trying to replace the traditional transaction systems with new, effective methods by applying technology in financial sectors for mobile payments, loans, money transfers, and even asset management.

• The government has introduced many initiatives to increase connectivity like digital India flagship program for connecting 250,000-gram panchayats across the country (Broadband Highways n.d.). This infrastructure has acted as a launch pad for fintech firms to roll out banking-like products to the unbanked population.

• Recent numbers show the rising market share of fintech firms in consumer and enterprise credit markets. This has posed somewhat of a threat to banks and NBFCs.

• Fintech services can reduce costs and improve access and quality of financial services. If given the right support and direction to grow, the industry has the potential to propel the Indian economy to one of the highest spots in the world

Blog By: Shivangee Modi, Assisted By: Megh Jadhav