Government sets up fintech panel to address regulatory challenges

Representative image

To address regulatory concerns and long-term strategy for the financial technology sector, the government has set up an inter-ministerial-industry committee on fintech (IMICF), which will be chaired by chaired by the secretary of the department of financial services (DFS).

The committee will focus on how fintech has influenced the broader banking and financial services industry, identify obstacles that hinder growth, and analyse global best practices in governance and regulation, said the order issued on March 17. Moneycontrol has reviewed a copy of the order.

"The key terms of reference (ToRs) of the Committee are as follows; to analyse the growth of fintech sector and its contribution to BFSI sector; to understand the issues and challenges of the fintech sector; to take stock of the regulatory and policy developments in the fintech sector; to identify the global best practices related to governance and regulation of FinTech's," it said.

The committee will bring together senior officials from key government departments, including the ministry of electronics and information technology (MeitY), the department for promotion of industry and internal trade (DPIIT), the department of economic affairs, and NITI Aayog, said the order.

The committee will submit its report within three months from the date of its first meeting

Representatives from the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI) will also be part of the panel along with fintech founders and CEO to "discuss and deliberate on the issues related to the fintech sector in India and to suggest measures to strengthen the ecosystem".

Among them are Ajay Kaushal, co-founder of BillDesk, Jitendra Gupta, founder of Jupiter, Varun Dua, CEO of Acko, Lalit Keshre, CEO of Groww, Vishnu Pillai, partner and head of FS Tech at KPMG, and Ashish Garg, managing director and senior partner at McKinsey, the order said.

Based on their insights, the committee will be responsible for drafting a comprehensive “Fintech Vision Strategy” that would outline policy interventions and industry recommendations.