The Reserve Bank of India will set up a ‘Regulatory Sandbox’ to benefit FinTech companies by way of reduced time to launch innovative products at a lower costs and will issue guidelines within next two months, central Bank Governor Shaktikanta Das said on Monday.
He said FinTech – financial technology – has the potential to reshape the financial services and financial inclusion landscape in India in fundamental ways. It can reduce costs and improve access and quality of financial services.
“We have to strike a subtle balance between effectively utilising FinTech while minimising its systemic impacts. By enabling technologies and managing risks, we can help create a new financial system which is more inclusive, cost-effective and resilient,” Mr Das said while addressing a day-long FinTech Conclave, organized by the NITI Aayog here.
He said India has been at the forefront of this revolution. A recent global survey ranks the country second in terms of FinTech adoption, with a rate of 52 per cent. It is reported that there are as many as 1218 FinTech firms operating in India which have created a large number of jobs. They are also generating a healthy appetite for investment.
