India’s attractiveness as an investment destination in the financial technology sector has been significantly boosted by key policy changes such as the bankruptcy law and taxation code, according to a senior official from the World Economic Forum (WEF).
In a recent interview with PTI, Matthew Blake, Head of the Centre for Financial and Monetary Systems at the WEF, highlighted how India’s digital public infrastructure has positioned the country as a top global market. Additionally, Blake noted the increasing importance of artificial intelligence (AI) in personalizing and customizing financial products and services.
The WEF-Cambridge report on ‘The Future of Global Fintech: Towards Resilient and Inclusive Growth’ emphasized that fintech companies view India’s regulatory environment positively, with 63 percent rating it as adequate. The same report revealed that AI is considered a major force by 70 percent of surveyed firms, indicating its potential for enhancing sectoral operations.
Blake stressed the significance of regulators adapting to rapid technological changes, particularly in risk management. He also highlighted the need for knowledge exchange and best practice sharing among private sector actors and supervisory bodies to foster sectoral development.
By creating a conducive environment through policy reforms and digital infrastructure, India has emerged as a lucrative hub for fintech investment. Regulatory agencies in the Asia-Pacific region are deemed skillful, presenting an opportunity for global collaboration and competency sharing in the financial services space. With a focus on mutual understanding and information exchange, the industry aims to drive growth and resilience in the rapidly evolving fintech landscape.
