Past Perfect, Future Tense? Themes shaping the future of Fintechs in India
Indian Fintechs have been the posterchild of India’s digital growth story, with their growth propelled by a surplus of capital, maturing infrastructure and favorable underlying customer demographics. The good news for Fintechs is that India’s digital infrastructure is only expected to further mature and the underlying demand growth is expected to stay strong. This paper crystallizes the existing and emerging secular themes underpinning the success of fintechs thus far.
However, the Fintechs will also have to operate in an environment with regulator(s) that are increasingly nationalistic, pro-consumer, and vigilant; licensed incumbents who are strengthening their digital capabilities; increasingly affluent and digitally savvy customers who are hungry for their financial needs to be met digitally; and most importantly, a large base of mass customers waiting to be digitally educated and serviced. The paper dives deeper into the granular vertical-specific themes that will shape the future of fintechs and the implications on payments, lending, wealth, insurance and Web3 fintechs.