Indian FinTech industry is without doubt growing at an outstanding pace, giving the highest RoI of 29% against the global average of 20.1%. (Source: PwC - Redrawing the Lines - 2017). Statista reports that the transaction value of the Indian fintech market is $44,068mn in 2017, with an expected CAGR of 20.2% to reach $91,999mn by 2021.
With such economic impacts backed up by the demand of a large user base, let’s look at the prominent focus areas in India’s fintech market, and the companies that offer these services:
Fastest growing fintechs & their sector focus:
Payments:
One of the well-performing and largest sub-niches of the Indian fintech market is Digital Payments, wherein the transaction value totals to $43,831mn in 2017. Services including Mobile/online payment solutions, such as wallets, P2P transfer and points of sale (PoS) are witnessing highest user adoption, heavily benefitting the SMEs.
Government programs including Unified Payments Interface (UPI) and India Stack (APIs to create presence-less, paperless, and cashless solutions) have also played an instrumental role in the nation’s shift toward mobile payments. As per PwC’s Fintech India Report 2017, this digital payments sector is estimated to grow to USD 500 billion by 2020, representing around 15% of GDP in 2020.
