Fintech market to see US$ 1 trillion in AUM, US$ 200 billion in revenue by 2030

This is 10 times growth from current figures

August 10, 2022

The country’s digital lending market is expected to reach US$ 515 billion in book size by 2030

The Indian fintech market contributes to the largest share of unicorns in India

‘Buy Now, Pay Later’ has become a popular form of payment and is on a growth trajectory

Co-lending is expected to emerge as a model that supports lending partners in mitigating risk exposure

India’s Financial Technology (fintech) market is expected to achieve US$ 1 trillion in Assets Under Management (AUM) while witnessing a record 10x growth and US$ 200 billion in revenue by 2030, according to a report from Chiratae Ventures and Ernst and Young (EY)  . 

The report said that the country’s digital lending market is expected to reach US$ 515 billion in book size by 2030, which will be the primary market growth driver.

The ‘Buy Now, Pay Later’ has become a popular mode of payment and will continue to be on a growth trajectory, due to its popularity in both Business-to-Consumer (B2C) and the Business-to-Business (B2B) space.  Co-lending is also expected to emerge as a model that supports lending partners in mitigating risk exposure. 

As fintech platforms continue to solve for traditional customers, new asset classes, cryptocurrency and Non-Fungible Tokens (NFT) will also continue to attract investor interest. 

In the insurance value chain, technology-based innovation is anticipated to help deliver solutions for the market at affordable rates.

Finally, the experts further added that fintech firms have innovated the financial markets through an ecosystem that includes mobile penetration, digital adoption, enabling regulatory environment coupled with digital infrastructure, and structural reforms and initiatives. These factors will play a vital role in accelerating the growth and penetration of fintech in India and continue to provide solutions for the sub-markets.