Union Finance Minister Nirmala Sitharaman encouraged the fintech industry to take advantage of specific opportunities in green finance and play their part in building a sustainable financial environment.
She also nudged fintech players to break the distance barrier and have more engagements with the government and its agencies to enhance trust.
There are opportunities for fintech players to play the role in a sustainable financial environment, and take advantage of the specific opportunities in green finance — a financial arrangement for specific use of funds for environmentally sustainable development products, the minister said at the Global Fintech Fest (GFF).
“I don’t want to sound cliche, but distance brings distrust. So, cut the distance down, have greater engagement with the government,” the minister said.
Sitharaman further said everyone in the government, whether the prime minister, ministers or think-tank Niti Aayog, is constantly available for engagement, discussions, and exchange of ideas.
“So greater the engagement, greater the trust, which gets built up. So I think one sure shot way of retaining and building on trust is to keep the constant engagement going,” she said.
To a question related to the role of the central bank and the finance ministry on the proposed digital currency, Sitharaman said the Reserve Bank will come out with the RBI-driven digital currency.
Innovations must be responsible and benefit consumers: RBI Governor
At the event, RBI Governor Shaktikanta Das said the central bank is committed to supporting innovation for fintech companies, but not at cost of consumer interest.
“I assure fintechs that we are here to support innovation,” Das said. “We will come two steps ahead if you come one step ahead with in-novation.”
He said innovations are “very much welcome,” they should be responsible and benefit consumers. Fair practices, and robust governance will go a long way in sustaining fintechs’ business models, Das added.
Indian economy to clock over 7% growth FY23, says CEA Nageswaran
The Indian economy will log an over 7 percent growth in the ongoing fiscal year, Chief economic advisor V Anantha Nageswaran said at the same event.
“India’s own growth rates have come off the projections made in January down to about 7-plus per cent for the current financial year,” Nageswaran said speaking at Global Fintech Fest event in Mumbai.
The CEA said the world is still undergoing the aftereffects of Covid pandemic and the ongoing war in Europe triggered by Russia’s invasion of Ukraine, suggesting that these factors are hurting growth.
The economic survey released before the annual budget in January this year has estimated FY23 growth to come at 8-8.5 per cent. The RBI has estimated the GDP to grow at 7.2 per cent, but some analysts have said that there will be a downward revision of the estimate soon.
Nageswaran said India is well-poised to sustain the 7 per cent growth per year during the remainder of the decade as well.
