Indian fintech’s big leap: $20B industry forecasted by 2030 – Report

The Indian enterprise fintech industry is projected to reach $20 billion by 2030, according to a report by Chiratae Ventures and The Digital Fifth. The report focuses on enterprise fintechs in six sectors – BankingTech, LendingTech, PayTech, RegTech, InsurTech and WealthTech – and highlights the role they play in streamlining product, sales, and service delivery. Investment in technology across financial segments is expected to grow in the coming decade, supported by public infrastructure initiatives like the India Stack. The report also highlights the growth of embedded finance platforms and investments in API-enabled infrastructure. Banks and financial institutions are expected to move towards 100% digital for the retail and MSME segments over the next decade. The report indicates that large banks are investing in technology and scaling their digital business, which is being replicated by smaller banks. Fintechs and embedded finance players are driving customer engagement in partnership with banks, and the digital push is expanding to complex business banking. The report also notes that regulatory frameworks around digital lending are evolving and positively influencing technology spending by lenders. India is aiming to become a less-cash economy and will demand agile Payment-as-a-Service platforms to orchestrate transactions. The report also highlights the growth of the wealth management sector and increasing assets, new entrants, and tech investments in India. The country’s life insurance market is expected to reach $200 billion by 2027. Technological advancements such as the internet of things and telematics are helping boost trust in insurance, reduce fraud, and improve decision-making in claims and underwriting.