New Delhi: The fintech sector in India has experienced a remarkable growth rate of 50 percent in 2023, surpassing the global average of 13 percent.
The Boston Consulting Group (BCG) has released a principal report titled 'Building Bridges for the Next Decade of Finance', during which it was observed that the revenues within the Indian fintech sector are anticipated to reach USD 190 billion by 2030, contributing to over 20 percent of the total banking revenues.
This report is released at a juncture where the Fintech sector is at a stage of maturation.
Regarding market size, the global fintech sector is poised to achieve revenues of USD 1.5 trillion by 2030, with the Asia Pacific region leading the way, expected to generate three times higher revenues than the next most promising region by 2030.
The BCG report suggests that India should focus on leveraging both critical and emerging technologies, such as Generative AI and API-based open architecture, across various functions including customer service automation and fraud detection.
Yashraj Erande, the Global Head of Fintech and India Head of Financial Institutions at BCG, noted, "It is also encouraging to see that Indian Fintechs are demonstrating a path to profitability earlier than anticipated, 2-3 years ago."
Furthermore, the BCG report underscores the potential for India to integrate its payment solutions.
The Indian financial infrastructure and digital payment solutions are among the most mature and scalable in the world, capable of supporting the significant digitization needs of global institutions.
Indian BFSI Software-as-a-Service (SaaS) companies, in particular, have a substantial opportunity to expand internationally and increase their revenues, according to the global consultancy firm BCG.
The Unified Payment Interface (UPI) stands out as a pivotal innovation driving India's fintech sector. It is recognized as India's premier digital payment platform, witnessing a surge in digital payments as more Indians adopt internet-based modes of transaction.
Moreover, the Indian government has emphasized the importance of ensuring that the benefits of UPI extend beyond India's borders, benefiting other countries as well.
