NEW DELHI: The Indian Fintech sector, valued at around $50 billion, is currently one of the fastest growing sectors in the country. It has witnessed a CAGR of around 22% and today stands well diversified with companies pertaining to payments, insurance, lending and investment among others.
However, in spite of the rapid headway, the sector still continues to be highly under penetrated. While this a major challenge, it also presents industry players with a huge opportunity to unlock the untapped market potential. To further spur the growth and facilitate synergy within the fintech industry in India, the Internet & Mobile Association of India (IAMAI), today announced the launch of its newly formed Fintech Convergence Council (FCC).
The launch was well attended by dignitaries like Mrs. V R Iyer, Ex- Member of investment and finance, IRDA, Mr. G Padmanabhan, non-executive Chairman, Bank of India, AP Hota, Ex-Managing Director & CEO, NPCI, Mohan Tanksale, Ex-Chairman, Indian Banks Association, Dilip Asbe, Managing Director & CEO, NPCI, Vijay Chugh, Ex- Chief General Manager, RBI along with more than 70 stalwarts from the BFSI and fintech sector.
At the helm of affairs would be Naveen Surya as Chairman (non-executive) and Yashish Dahiya as the Vice-Chairman (non-executive). Earlier, in his capacity as the Chairman of Payments Council of India, Naveen has successfully spearheaded the digital payments movement in the country. An industry veteran, he has also been a key member in several government committees such as GIRO committee and Ratan Watal Committee among others. Mr. Yashish Dahiya, Founder and CEO of PolicyBazaar, is also an active participant in India’s fintech growth story.
IAMAI’s Fintech Convergence Council will identify opportunities for better collaboration and convergence between the larger Financial Services Institutions across banking, payments, insurance, and investment with its eco-system and Fintech companies. Convergence aims to find solutions to motivate customers use their digital money seamlessly across digital and physical, in any type of transaction.
Naveen Surya, Chairman, IAMAI Fintech Convergence Council, said, “Financial convergence is the way forward for the fintech industry. Fintech has made tremendous progress over the last few years but the impetus for the next phase of growth will emerge from the integration of all financial services players. Working collaboratively with all the stakeholders, the converged platform of FCC will aim to create an eco-system which is conducive for the expansion of the sector, augment market penetration and at the same time offer a unique proposition for all the customers.”
Yashish Dahiya, Vice Chairman, IAMAI Fintech Convergence Council, said, “There has been a growing trend of alliances in the financial sector & we are looking at establishing an end goal of an inclusive FinTech ecosystem where competition is trumped by collaboration and growth is the ultimate outcome. There is a massive scope for growth of the Insurance sector, especially, with the growing digital-first approach, evolving product landscape, and greater consumer maturity. Convergence may just be the push it needs.”
By integrating the entire financial services sector, the council aims at leading the development of open platforms and standards for the Fintech industry which would further lead to growth and enhanced market penetration. Through active engagement with the Government and the regulators like RBI, SEBI, IRDA etc., FCC endeavors to create a sustainable environment for the sector to flourish and drive expansion across financial services.