Roundtable on “Transformative Power of FinTech"
Recognising the critical role played by FinTech companies in strengthening the credit ecosystem and shaping the growth of the sector, Chase India and USIBC joined hands to host a roundtable discussion on “Transformative Power of FinTech: Narrowing the Credit Gap” on 12th September 2023 which was conducted at Marigold Hall, India Habitat Centre. Credit plays an important role in driving the nation’s economic potential. It is understandable that integration of credit with technology holds the potential to enhance financial inclusion, especially to marginalised segments of society. However, achieving a comprehensive credit outreach through traditional means and incumbent organisations presents a formidable challenge for regulators as well as government. FinTech companies have emerged as key players, capable of catalysing the goal of providing timely and affordable credit to vulnerable and low-income groups. Given this backdrop, the roundtable discussion was organized with the aim of brainstorming and identifying key policy reforms or initiatives towards this end.
The event saw participation of experts from various domains including from Government – Shri Parshant Kumar Goyal, Joint Secretary, Department of Financial Services (DFS), Ministry of Finance (MoF) & Shri Harsha Bhowmik, Director (Digital Economy and FinTech), Department of Economic Affairs (DEA), MoF; Industry – CXOs from Lentra, Ribbit Capital, etc.; Industry Body – Digital Lending Association of India (DLAI), Civil Society Organisations – Centre for Digital Financial Inclusion (CDFI), Consumer Voice, etc; and other organizations such as World Bank, SIDBI, PwC, and more. The stakeholders offered suggestions, such as simplifying the process of formalizing MSMEs to enable wider credit availability, the importance of establishing a refinance window for NBFCs, and the need for a stringent consumer protection framework. Additionally, the participants also deliberated on the necessary frameworks and policies to facilitate prompt credit access for MSMEs and startups. Also, the crucial role of SRO in nurturing the growth of the fintech industry and credit while maintaining ethical standards was underscored. By hosting this roundtable discussion, Chase India brought together important stakeholders and provided a discussion forum to talk about challenges prevailing in the ecosystem and press for innovative solutions through brainstorming and stakeholder consensus to address credit under-penetration in India by harnessing the potential of FinTechs.
