Future of FinTech in India | Top 10 Fintech companies in India
Over the past few years, India’s digital economy has grown rapidly and the government’s push towards the growth of start-ups has helped fuel growth in the digital space. Fintech is a sector that has grown tremendously and will continue to grow at a rapid pace going forward. Expect to keep.
For products and companies that use newly developed and digital and online technologies in the banking and financial services industries, how they are used and their impact on consumers is more complex. It has greatly affected how we behave as consumers. Thus fintech is also known as financial technology.
It is significantly blurring the line between commercial services, allowing bankers, consultants and technology providers to offer almost identical services.
Financial technology was used as a back-office support function for bankers and traders. Venture capitalists rarely invested in the sector while public companies in the industry were rarely compared to the high-growth darlings of Silicon Valley.
Will fintech replace banks?
FinTech start-ups are unlikely to replace the banking system. This can be attributed to several reasons, the most important of which is the decades of customer trust they have built, which FinTechs will need to build over the years.
Top 10 Fintech companies in India
- ● Paytm
- ● Razorpay
- ● Pine Lab
- ● Cred
- ● ETMoney
- ● Instamojo
- ● PolicyBazaar
- ● MobiKwik
- ● ZestMoney
- ● Lendingkart
What have the investments in fintech been link in India
While digital payments continue to grow in India, the country is still struggling to achieve better financial inclusion. This is an issue that comes hand in hand with the alarmingly high illiteracy rate in India.
On a positive note, Indian FinTechs have attracted nearly $10 billion in equity capital funding over the past decade. According to KPMG’s Pulse of FinTech
India is close to matching 2020 total fintech investments with $2 billion in the first half of 2021 alone. Digital banking has been the target of most investments thanks to India’s unique model of primarily software-as-a-service (SaaS) with regulatory responsibility for digital banks as bank partners. ) allowed to act as providers.
How many Fintech Unicorns does India have?
India is not encumbered with the physical banking infrastructure of the West so it was able to adopt new solutions faster than its Western counterparts. Although the rise of fintech unicorns cannot be confined to India, this trend is evident in many countries globally. For example, eight out of nine unicorns produced in the UK so far this year are from the fintech space.
Which Fintech Sectors are the Most Fintech Unicorns in India?
Companies in the finance and insurance industry have reached unicorn status.The Indian fintech ecosystem is made up of various subsegments. Payments, lending, asset technology or wealthtech, insurance technology, regulatory technology or regtech. A Credit Suisse report on India’s start-ups and fintech revealed that 70% of fintech unicorns are in payments and digital lending. Many are first-time digital payment users. India’s supportive policy framework along with UPI has made the country a haven for digital payments.
Most recent startups have focused on innovative technologies to help reduce information asymmetry between financial institutions and investors and thus combat market inefficiencies.