The financial technology landscape in India has experienced a significant injection of funds totalling USD 158 million in the second quarter of 2024, with the lending sector emerging as the dominant player, securing a substantial USD 98 million, according to a report by Digital Fifth, a consultant to the BFSI segment. The enablers segment followed closely, garnering investments totalling USD 94 million in June alone.
The report added that Pune has surfaced as the city with the highest capital inflow in June, driven by lending platform Fibe's impressive USD 65 million funding windfall. Other notable lending investments include Rupeek's USD 14 million and Supermoney's USD 3.4 million. The growth in this sector is attributed to innovative digital lending platforms and specialised products like digital gold loans and insurance premium financing solutions.
The fintech industry has witnessed a total capital infusion of USD 337 million thus far in 2024, with 148 companies in the enablers segment, 122 in the lending segment, and 33 in the payments segment receiving funding. It stated that Bengaluru leads the pack as the city with the highest capital inflow this calendar year.
Industry experts predict a significant surge in the adoption of neo-banking platforms by MSMEs, with expanded offerings like lending and corporate cards addressing working capital, trade finance, and compliance needs. The future looks promising for fintech, with alternative investment companies, digital wealth management firms, banking as a service (BaaS) models, and secured lending-focused tech firms expected to attract substantial investments.
_20241204130444_original_image_4.webp)
