India emerges as global fintech innovation hub, AI and DPI to drive next growth phase: Industry leaders
New Delhi, August 6
India has emerged as a global fintech innovation hub, backed by one of the world's most advanced Digital Public Infrastructure ecosystems, with industry leaders highlighting artificial intelligence, collaboration and trust as the key pillars driving the next phase of growth during the 3rd India International FinTech Festival 2026 organised by ASSOCHAM.
Addressing the event, Amitabh Chaudhry, Senior Vice President, ASSOCHAM and Managing Director & CEO of Axis Bank, said India has built a globally recognised digital financial ecosystem through initiatives such as the Unified Payments Interface (UPI), Aadhaar and Jan Dhan accounts.
"India has established itself as a global fintech innovation hub, supported by one of the world's most advanced Digital Public Infrastructure ecosystems," Chaudhry said, noting that UPI processes more than 22 billion transactions every month, while 558 million Jan Dhan accounts and 1.4 billion Aadhaar registrations have accelerated the country's digital transformation.
He added that platforms including DigiLocker, FASTag, Account Aggregator, ONDC and the Digital Rupee have significantly expanded financial inclusion and digital access across the country.
Chaudhry said the future of financial services will be driven by deeper collaboration among banks, fintech firms and technology companies.
"The next phase of financial services will be shaped by closer collaboration among banks, fintech companies and technology firms, with artificial intelligence, Digital Public Infrastructure, embedded finance, cybersecurity and responsible innovation emerging as key growth drivers," he said.
Speaking at the summit, Gautam Aggarwal, Division President for South Asia and Country Corporate Officer, India, Mastercard, said the Indian fintech sector is now moving beyond expanding access to creating long-term value and sustainable participation in the digital economy.
"We have been able to demonstrate inclusion, innovation and scale. The next big challenge is to create a profitable ecosystem. It is not merely about how many people are digitally empowered but how many people can participate in the digital economy in a sustainable manner," Aggarwal said.
He stressed that the industry should leverage AI to accelerate growth while ensuring digital financial solutions are built on security, transparency and customer protection. Aggarwal also highlighted the opportunity to extend India's Digital Public Infrastructure to Tier-II, Tier-III and rural markets through AI-enabled financial services.
Madhur Deora, President and Group Chief Financial Officer of Paytm, said India's fintech ecosystem has achieved remarkable scale, with the country processing nearly 24 billion digital transactions worth around Rs 300 lakh crore every month.
He said the industry's priorities should continue to focus on sustainability, scalability and trust while delivering greater convenience, transparency, financial inclusion and security for consumers.
Meanwhile, Kunal Guha, Managing Director, Commerce, Shopping & Payments, Asia Pacific, Google, described AI as "the ultimate equaliser", saying the technology has the potential to enable even small businesses to compete effectively in the digital economy.
Guha added that continued collaboration among the government, regulators and industry stakeholders would be essential to drive the next phase of fintech innovation and strengthen India's digital financial ecosystem.
— ANI
Reader Comments
The numbers are impressive - 558 million Jan Dhan accounts and 1.4 billion Aadhaar registrations! But I hope we don't forget about cybersecurity. With so much digital adoption, protecting our data should be the top priority. 🙏
As someone who runs a small kirana store, I can vouch for how far we've come. I now accept payments through QR codes and even take loans through digital platforms. AI could make things even easier for small businesses like mine. Great progress!
Impressive to see India leading the fintech revolution! As someone who's worked in banking globally, the scale of India's digital payments ecosystem is genuinely unmatched. Looking forward to seeing how AI transforms financial inclusion in rural areas.
The point about extending DPI to Tier-II and Tier-III cities is crucial. Living in Bengaluru, I take digital payments for granted, but my cousins in rural Karnataka still face connectivity issues. Let's ensure the next phase truly reaches everyone, not just metros.
The collaboration between public infrastructure and private innovation is something other countries should study. India's approach to fintech - building on top of DPI - is unique and effective. Kudos to all the stakeholders making this happen!
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