: Need for partnership between Fintech & FIs stressed #FinanceIndia #StockMarketNEWS Need for partnership between Fintech & FIs stressed New Delhi, Sep 8 (KNN) K Rajaraman, Additional Secretary in the

@StockMarketNEWS Wed 09 Sep, 2020

Posted in: #FinanceIndia #StockMarketNEWS

Need for partnership between Fintech & FIs stressed #FinanceIndia #StockMarketNEWS
Need for partnership between Fintech & FIs stressed New Delhi, Sep 8 (KNN) K Rajaraman, Additional Secretary in the Finance Ministry has emphasized on the need for creating an environment for fintech companies to partner with large financial institutions and offer innovative solutions.

Addressing a web-conference ‘PICUP Fintech’, organized by FICCI jointly with Indian Banks’ Association (IBA), on Monday, Rajaraman said, “With all the partnership that we have, we should be able to have an environment which enables the fintech industry to innovate. It will also provide better penetration of financial services, security, and lower cost of business. Ultimately, this will offer better convenience and comfort to the users. ”

Rajaraman further said that there are opportunities for fintech to collaborate with companies in the insurance, pension sector also.

“There is an opportunity for us to harness and marry the fintech companies with the flagship programs of the government. I urge the insurance industry to collaborate on micro insurance and micro pension schemes rolled out by the government,” he said.

To promote innovations in the fintech sector, Rajaraman said that most of the last mile KYC and other issues are being sorted by the regulators.

“SEBI, IRDAI and RBI have already rolled out regulatory sandbox which will enable the next wave of innovations benefiting the financial services sector,” he noted.

Elaborating on the initiatives taken by the govt, he added that we are working in the inter-ministerial steering committee on fintech to support the sector. We are also working with other countries to enable cross border innovations, he said.

He also stressed on the need to promote small investors to invest in the capital market.

“Investment by Indians in the financial markets have been slowly rising, but a lot more work needs to be done to ensure that an ordinary citizen can invest effortlessly in the capital market. This is also a challenge that lies before us to enable investment advisory services comfortably for the ordinary Indian,” Rajaraman added.

He further said that during the pandemic, the digital payment transactions have also improved and soon will explode as more and more preference is given to digital transactions.

“Digital payments have come back to almost 85-90 percent of the transactions in January and February. I believe in some time, this is going to explode because now people have realised the importance of going digital,” said Rajaraman.

He also said that the committee for payment market infrastructure and bank for international settlement is coming up with a roadmap on the cross-border payment system.