Today’s present scenario seems to be the toughest phase of several industries.
Most of the small industries are facing an acute shortage of funds.
However, in these tough situation, there are some industries which are not only standing strong but also showing a great run in the current year.
These companies are drawing huge funds globally and promising a great year ahead.
One of these industries is Fintech Industry i.e. financial technology industries.
Popularly known as Fintech Companies, they are heavily using the latest technology. Not only proving boon to modern age banking but also helping in achieving India’s thrust for financial inclusion for underived society.
Future of Fintech in Post COVID world
Since in current situation Work from Home (WFH) become essential. At the same time, customers are also not comfortable visiting banks in person, therefore this technology came as a bridge between the same.
Fintech start-up companies register impressive growth in the first half of 2020.
Digital lending also increases rapidly since they provide an instant loan in minutes with lesser paperwork and without visiting and office.
They are more depends on latest technologies to know the financial history of the borrower through various means i.e. spending habits, accounting transactions and mainly assessing their credit history through online transactions.
Fintech Market in India
At the world’s largest and prestigious events on financial technology in Singapore, Our Prime minister Narendra Modi said that technology has transformed governance and also public service in India. It has made economic access more democratic.
The Fintech sector has emerged as the most preferred sector for the investor in India in 2018. The Top 10 deals by value in Fintech accounted for 60% of total funding raised this year. The Fintech sector came across as the most active firm raised by $953.03 million.
The Indian government’s Fintech policy provides fiscal and non-fiscal incentives to attract innovators for Fintech start-ups.
As Mumbai has been a financial capital all among so the government of Maharashtra is aiming to make it a Global Fintech Capital soon.
The Karnataka Start-up Policy is second in this process to guide start-up. Andhra Pradesh government is also following the same to set up the Vizag valley.
While all small Fintech companies like payment banks, small finance bank, non- bank financial companies expanding their business into the country, all major banks are focusing on urban India.
Banks are adopting digital products for strong financial services and ease digital transactions.
India has emerged as a good destination for technology and Fintech firms.