Indian FinTech Eyes Union Budget 2024-25 for Responsible Growth and Innovation

As anticipation builds for the Union Budget 2024-25, the Indian FinTech industry is eagerly looking for measures that will foster responsible growth and innovation within the FinTech space. The Budget is poised to address financial inclusion as a key focus, with plans for a streamlined credit platform. This move reflects the Reserve Bank of India’s commitment to making credit more accessible for small businesses and individuals, streamlining the lending process for efficient access to essential financing.

Collaborative efforts with key stakeholders like SIDBI, NABARD, and the agriculture ministry are expected to propel India’s digital commerce onto the global stage. The Budget is likely to underscore the growth potential of initiatives such as ONDC and eCommerce, especially for emerging India.

Despite being a Vote on Account, with a detailed version expected after the formation of a new government, FinTech companies are hopeful for continued government support for digital infrastructure and technology adoption. There is a keen anticipation for initiatives promoting the adoption and expansion of rural financial services, coupled with support for new FinTech-led business models.

The sector remains optimistic about potential simplifications in regulatory frameworks. FinTech companies are exploring innovative ways to reach underserved populations, with increased collaboration between FinTech firms and traditional financial institutions. This collaboration is expected to lead to hybrid models that combine the strengths of both sectors, promising a landscape of mutual growth and innovation.