There are plenty of reasons for the Indian government to support the domestic fintech sector by offering financial aid.
The Finance Minister’s Union Budget 2025 announcement listed the domestic fintech sector on top of the priority list under the Viksit Bharat Mission.
Is It Necessary to Keep the Fintech Sector in Focus?
Of course! Let me tell you why!
Right from easy online payment to quick access to loans, digital India has made lives simpler and easier for millions.
Be it about transferring money in rural areas, fintech has brought endless possibilities to rural India.
Key Reasons to Focus on Fintech Sector Under ‘Viksit Bharat’
Sanctioning financial aid to the domestic fintech sector is one of the major objectives for turning rural Bharat into a global powerhouse. The main objective behind providing monetary support to this sector is to –
- Turn rural India into a superior ground for creating new market scopes
- Boost the fintech sector for mass production of ‘Make in India’ products for selling those globally
- Enable domestic players to set up successful business models that will eventually capture global markets
- Scale-up parallel business, production and revenue growth of the fintech sector within the next few years
- Make UPI payment popularized and acceptable in 7 countries (including France) by widening geopolitical borders for Indian financial technology & hitting international boundaries
Rural India – The Targeted Sector of India’s Fintech’s Market
The Indian Government has popularized advancements made in financial technology to bolster rural areas by achieving certain goals. Some of those goals include-
- 70% of UPI users in 2025 are from Tier -2/3 township areas
- The Government of India also fast-tracked approval of sanctions made for fintech experiments in blockchain, AI-driven credit scoring and CBDC’s
- 25% of Research and Tax incentives are sanctioned for AI (Artificial Intelligence/Machine Learning) based fintech solutions for Budget 2025
- Around 10,000 Cr. fund has been sanctioned for adopting fintech in the rural sector
Conclusion
India’s journey to empower rural India is impossible without counting the modern advancements made by financial technology. Only financial technological advancements can help rural areas avail themselves of the benefits of India’s rapidly growing fintech sector.
That’s possible only with Government aid to the domestic fintech sector for integrating rural villages under its benefits. After all, it’s the only way to make the ‘Viksit Bharat’ mission a grand success.
