Reimagining Financial Services: The FinTech Disruption of Financial Services in India

Dr. Ranjani Srinivasan, Dr. Madhavi Karanam, Dr.R. Shenbagavalli, Dr. Senthil Kumar and M.V. Anuradha

The financial services sector in India is facing a blitzkrieg of financial technologies and applications. Recent innovations in the FinTech sector has disrupted all aspects of finance, ranging from payments, lending, investments to insurance and other service areas. 67% of Indian financial institutions perceive FinTech as a powerful threat to their survival. The FinTech sector has witnessed increased participation from non-financial players such as telecom, power, and other industries. Emerging disruptive trends have proven that a large dataset can be effectively leveraged with total customer engagement and drastically lower investments in IT infrastructure. This paper provides a reflective view of the collective impact of the government digital policies and emerging disruptive technology in India. The paper examines the FinTech disruption formula and its relative implication on the financial services landscape by substituting financial products with IT applications which are cheaper, better and faster. The paper entails the unique case study of ‘India Stack’ aimed at creating a single financial ecosystem in India that is presence-less, paperless and cashless. The paper outlines the economic outcomes from the FinTech disruption and top tech trends such as blockchain technology and IoT, which shall dominate the financial services sector for 2020.

Volume 11 | 08-Special Issue

Pages: 975-983