Union Finance Minister Nirmala Sitharaman invited Silicon Valley investors to become part of the country’s growth story as she advocated cooperation with the US on financial services and new technologies.
Speaking at a roundtable hosted by the Confederation of Indian Industry (CII) and the US Chamber of Commerce’s US-India Business Council (USIBC), she said that financial technology (fintech) represents a unique opportunity for sustainable and inclusive growth .
“With a growth forecast of nearly 8 percent in fiscal 2023, India is likely to remain the fastest growing major economy in the world for the next few years, driven by the continued expansion of its tech and start-up ecosystems,” Ms. Sitharaman told a group of eminent Business leaders in Silicon Valley.
“US-India collaboration on financial services and new technologies will support increased investment and innovation, and fintech represents a unique opportunity for sustainable and inclusive growth,” said the finance minister as she invited leading investors to become part of India’s growth story .
The executive gathering, moderated by Atul Keshap, President of USIBC, was also attended by Drs. V. Ananth Nageswaran, Chief Economic Adviser, Government of India; Taranjit Singh Sandhu, Ambassador of India to the United States; Rajat Mishra, Additional Secretary, Department of Economic Affairs, Ministry of Finance; and Nilesh Shah, Chair of the CII National Committee on Financial Markets.
“There is a fintech revolution happening in India. As a country running the world’s largest financial inclusion program, the country with the highest fintech adoption rate in the world and the world’s highest number of real-time online transactions, India has a lot to offer to the world,” said Mr. Sandhu.
“The financial sector in India has recently witnessed PM-led and FM-led reforms. We hope that the US venture capitalists, endowment funds and asset management firms will look to India to start their new journey or expand existing businesses and partner and grow.” he said.
Mr Keshap said the discussion reiterated that innovation in fintech will be a key factor in achieving US$500 billion in annual trade between the US and India.
“Global leaders in these fields from USIBC and CII member companies shared an ambitious vision of how fintech can advance a free and prosperous Indo-Pacific. I strongly support what corporate leaders, VCs and institutional investors are doing to make this vision possible,” he said.
“Vibrant Startup Ecosystem in India”
“As a hotbed of innovation with a vibrant start-up ecosystem, India is full of opportunities for investors. India is home to one of the fastest growing fintech markets in the world, with an estimated 20 percent annual growth in transaction values to reach $138 billion by 2023,” said Shah.
“Under the leadership of Finance Minister Sitharaman, India has continued its accelerated growth despite the external shocks of COVID-19 and global conflicts, and the participants at the roundtable, who are looking to invest in India’s expanding fintech market, have high expectations of its continued success” , he said.
Companies and funds attending the event included Blackstone, Brevet Capital, Citi, Nova Credit, Western Digital, Palo Alto Networks, The Regents of the University of California, Lightspeed House Ventures, Insight Partners, Morgan Stanley, Powerhouse Ventures and Blume Ventures, Bow Capital and Nasdaq.
