Role of Fintech in Development of Indian Economy

In the present global scenario the role of financial technology in the development of Indian economy. Further investigation provides that there is a paradigm shift in the way day-to-day transactions are made after the Fintech boom. India has traditionally been a cash dependent economy, with majority of the transactions still happening based on paper money. However, Fintech is changing the way Indian consumer and businesses are transacting. Fintech has empowered the economic development by enhancing speed, accuracy, affordability, transparency and convenience of our day-to-day financial transactions. Today, Fintech business models have covered practically most of the areas such as investing, payments, managing, financing, insuring, and real estate among others. The key success factors are customer service orientation and manifestation of services in transparency, efficiency, low costs and user friendliness as well as accessibility and speed. Fintech offers great opportunities for governments, from making the financial systems more robust and competitive, to deepen access to financial services for the unbanked/ under-banked population. However, these opportunities should be coupled with cautious and stable infrastructure to meet the potential threats to consumers and investors. This paper studies the various opportunities and challenges faced by Fintech in India.