APRIL, 2025
At the vibrant Startup Mahakumbh 2025, Amitabh Kant-India’s G20 Sherpa and former CEO of NITI Aayog-delivered a foundational address at the occasion of the launch of India Fintech Foundation (IFF), the proposed self-regulatory organisation (SRO) for Fintech-a milestone in bridging regulatory gaps, fostering innovation, and safeguarding consumer interests
Anchoring Fintech in the Vision of Vikshit Bharat
Kant began by rooting his vision in the Prime Minister’s ambitious goal- India should be a Vikshit Bharat by 2047. He detailed the scale of this aspiration: “India has to grow from about $4T to $30T economy, GDP has to grow 9x, Per Capita has to grow 8x, and Manufacturing at 16x.” For this transformation, he stressed, “it is very important that the fintech sector continues to grow and expand so that we are able to provide credit at all levels in this society”
India’s Fintech Rise: A Testament to Innovation
Kant spotlighted India’s remarkable ascent in the fintech domain that- the nation now ranks third globally in the number of fintech companies and unicorns. India’s fintech ecosystem has witnessed remarkable growth with revenues surging to $25B in 2023 and actually that’s a 56% YoY increase. The projection is India will have 150 fintech unicorns with a combined valuation of $500B by 2030 and fintech revenue projected to reach $190B by 2030. “This growth is a testament to – innovative spirit of our entrepreneurs, driven by tech savvy youth, access to capital, government initiatives and advancement in internet and mobile technology”
Responsible Innovation: The Need of the Hour
Kant’s message was clear: growth must be matched with responsibility. “Innovation is the lifeblood of fintech, as we innovate, we must do so responsibly. This responsibility entails ensuring new products and services do not inadvertently exclude or harm vulnerable population.” He called for vigilance against emerging risks, particularly cybersecurity, and described the journey from niche solution to mainstream adoption: “The journey from niche solution to wide spread adoption should be marked by milestones such as: Proliferation of the digital wallet, UPI based payments, block chain application. This transition signifies not just acceptance but a deep integration of fintech into the daily life of our citizens”
The Pivotal Role of SROs
Kant then highlighted the critical importance of self-regulation: “Now in this the pivotal mechanism to foster ethical and responsible growth in fintech the establishment of self-regulatory organisations and its regulations are important.” He elaborated, “SROs operate under the oversight of RBI and play a crucial role in setting industry standards, enforcing compliance and acting as a bridge between regulators and fintech companies.” Kant expressed confidence in the regulatory approach that he is sure RBI will not limit itself to approving just one SRO and that RBI will support self-regulation and by doing so, RBI will ensure high standards of compliance and accountability and it will empower the fintech sector to grow responsibly, laying the foundation for a sustainable and trust worthy ecosystem.
Navigating Complexity: Inclusivity and Oversight
Kant acknowledged the evolving landscape and its challenges and that navigating the future challenges in India’s fintech sector landscape is important because fragmentation of the ecosystem will take place and India’s fintech sector will diversify with various business models and regulatory needs. He emphasized the need for broad representation: “There has to be safe guarding against conflict of interest and hence SROs must represent a broad range of fintech companies. RBI guideline ensures fostering inclusivity and diverse representation. Close oversight and guidelines by RBI will ensure that the fintech industry operates independently of any undue influence from within as well”
The Foundation of a Trustworthy Ecosystem
Kant concluded with a powerful call to action: “As we advance towards Vikshit Bahrat, the role of self-regulation is critical and is very significant, in fintech sector particularly it can’t be over stated. He mentioned that self-Regulation is the cornerstone upon which we can build trustworthy, inclusive and resilient financial ecosystem and by Embracing self-regulation, collaborating effectively and balancing innovation with responsibility we can ensure that India’s fintech sector continues to thrive and benefit all segments of our society.
With these words, Amitabh Kant not only set a bold vision but inspired the entire fintech community to rise to the challenge of building a trustworthy, inclusive, and resilient ecosystem. As the India Fintech Foundation begins its journey, his closing wish resonates as both encouragement and expectation- “Thank you very much and I wish the proposed SRO–India Fintech Foundation all success and its board all success. I hope they discharge their duties responsibly and make it the best SRO in the fintech sector.”
Contributed by Adhwaith, India Fintech Foundation
