The reluctance of both industries to bear the cost of the UPI infrastructure and the excessive power that banks wield in the regulatory ecosystem are deepening the divide
From new regulatory regimes in payments and digital lending to crackdowns on bad practices by a few firms, this year saw regulation and compliance take centre stage for the fintech industry. The new regulations, though well-meaning, have also led to tensions between fintechs and bankers. While fintech founders and bankers publicly display a “symbiotic relationship”, fissures lurk beneath the surface.
As disruptors of the banking system, fintechs and their cohorts of engineers have a grouse: For all their deposits and assets under management, bankers have been inefficient and only marginally improved the access to credit and other financial products despite …
Advait is a financial journalist and a former writer at The Morning Context. Here, he wrote on India’s banks, the wider financial services industry and the fintech ecosystem. He has previously worked with the Economic and Political Weekly, Business Standard, BloombergQuint and MediaNama, where he covered everything from the Reserve Bank of India to fintech policy.
Writer
advait@mailtmc.com
Mumbai