Fintech
National Technology Day 2024: How technology continues to boost fintech in India
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Among all industries, financial services has continued to thrive due to technological advancements. The growth of emerging technologies such as generative artificial intelligence, cloud computing, blockchain and the Internet of Things (IoT) have shaken up conventional financial operations. Technology has played a crucial role in the significant transformation of the financial services industry, making services more accessible and efficient.
India is considered one of the most inspiring ecosystems for innovations. “It’s not just about adopting them, but about redefining possibilities, fostering digital trust and paving the way for sustainable economic development in a rapidly evolving global landscape with diverse and evolving customer needs,” says Rohit Jetly, Head of Global Platform Solutions – Platform Delivery; and Country Manager – India, Fidelity International.
“The JAM trinity of Jan Dhan, Aadhaar and Mobile embodies innovation. These pillars have created an ecosystem that drives fintech advancement, enabling Indian businesses to develop a wide range of products and services, including payments and lending digital, among others Furthermore, public digital infrastructure has been instrumental in driving innovation and growth in the fintech sector, significantly contributing to financial inclusion and economic progress across the nation,” said Dilip Modi, founder of Spice Money.
In particular, AePS and UPI are great examples of how innovation has revolutionized financial transactions. According to data shared by the National Payments Corporation, Unified Payments Interface (UPI) recorded a record 10.58 billion transactions in August 2023. In April 2024, UPI recorded 13.3 billion monthly transactions.
“In the fintech space, disruptive technologies have led to the development of disruptive products, reshaping the landscape of financial transactions. It is also time to recognize the success of initiatives like UPI, which has played a vital role in promoting financial inclusion and showcase India’s potential.” commitment to innovation on a global scale,” shares Pankaj Goel, CTO, BharatPe.
Government initiatives to support digital education and financial accessibility are ensuring that these services reach every corner of the country.
“As the world gravitates towards rapid digital transformation, fintechs are at the forefront, revolutionizing the way financial services are provided and consumed. With widespread smartphone penetration and affordable internet, fintech solutions can now reach even the most remote corners of our country, unlocking opportunities for previously underserved customer segments,” said RV Ramanathan, CEO and co-founder of Hyperface.
Second Forbes65% of senior financial executives expect positive changes from the use of artificial intelligence in financial services.
Among the technologies that are pushing financial services in the country, several banks, NBFCs and fintechs are adopting blockchain with enthusiasm.
“Blockchain technology also enables microtransactions and secure financial services, which can benefit people without access to traditional banking. Unlocking this potential requires a collaborative effort with government, industry leaders and academic institutions. Promoting a dialogue constructively, we can create a regulatory environment that encourages responsible innovation and enables the ethical use of digital assets, thereby paving the way for India’s thriving technology ecosystem,” said Anuj Garg, VP-Blockchain, ZebPay.
Blockchain tends to simplify banking and lending services, reducing counterparty risk and decreasing issuance and settlement times, to name a few.
Agrees Shivam Thakral, CEO, BuyUcoin “Since our early days, we have recognized the transformative potential of cryptocurrencies and blockchain technology in the Indian financial ecosystem. By adhering to rigorous regulatory standards and fostering trust among our users, we have played a role key in enabling safe cryptocurrency trading in the country.”