FICCI-BCG report: India’s fintech industry seen at $150-160 bn by 2025
The Federation of Indian Chambers of Commerce & Industry (FICCI) and Boston Consulting Group (BCG) have released the ‘India FinTech: A USD 100 Billion Opportunity’ report”.
The report highlights the findings from the study conducted by BCG and FICCI. The study was conducted to size the value-creation potential and to identify the imperatives for FinTech growth of India.
FinTech Industry in India
The FinTech industry in India is growing at a fast rate. The FinTech players are redefining their business models in different sectors of financial services industry. They are also helping in improving the service delivery and are also contributing to the digital financial inclusion. The dynamic FinTech industry of India has more than 2100 FinTechs out of which 67% were set up in the last 5 years. The total value of the industry accounts to $50-$60 billion. The growth of the industry has not been affected by the pandemic. Amid the pandemic, the industry signifies the emergence of 3 new Unicorns and 5 new Soonicorns since January 2020.
Why fintech industry is a success on India?
The Fintech industry is witnessing a strong growth because of deep-rooted customer demand, strong tech talent, diverse capital flows and enabling policy framework in India.
Internationalization of Indian FinTechs
The report also covers the theme of internationalization of Indian FinTechs. The BCG-FICCI conducted the “BCG-FICCI FinTech Survey 2021” in a bid to develop a close understanding of FinTech industry’s multinational ambitions. As per the survey, 39% of Indian FinTechs surveyed have its presence outside India while 73% of FinTechs are considering international expansion opportunities. The report highlights that, South-East Asia followed by North America were the most sought-after destination for the international expansion.
Category: Reports & Indexes Current Affairs