How this fintech startup helping rural India become cashless

In last two to three years, especially, in Covid phase, India has witnessed a significant surge in payment systems as people have realised the importance of comfortable, convenient, and hassle-free transactions. India boasts 6,636 fintech startups and is one of the world's most rapidly developing fintech industry. The Indian fintech industry is predicted to be worth $150 billion by 2025, with 52 fintech unicorns. Based on these figures, "I am optimistic that India's FinTech industry would soon surpass that of many other countries," says Manan Dixit, co-founder, FidyPay in an exclusive interview with Bizz Buzz

Where do you see the payment landscape of India for next 2 years?

In India, fintech, which includes payment and lending, is exploding. Digital banks, licences, digital rupees, and other creative ideas are being developed by regulators. The potential of this ecosystem has been recognised by Indian regulators, who have set licences, data protection standards, and compliances to ensure that not just anyone can enter and make a product, but that it must follow a process and be done in a systematic manner. The goal of this industry is to solve the last-mile problem in tier-3 and tier-4 cities, as well as to develop new products. UPI123pe launched by National Payments Corporation of India (NPCI) will be available to a total of 40 crore people, allowing them to take part in the rapidly expanding digital payment industry. In addition, digital rupees are on their way to us, and we could see them in the near future.

We've seen a lot of innovation in the payment and lending space, and the linked banking sector has grown dramatically in contrast to past years now that open banking has been introduced. India boasts 6,636 fintech startups and is one of the world's most rapidly developing fintech industry. The Indian fintech industry is predicted to be worth $150 billion by 2025, with 52 fintech unicorns. Based on these figures, I am optimistic that India's fintech industry would soon surpass that of many other countries.

What is your inspiration for starting FidyPay?

I grew up in a small town in Madhya Pradesh where cash reigned supreme and the digital payment ecosystem was tainted with suspicion, I realised that the problem of late payments was widespread in India's lower-tier cities, and that the main reason for this was that people didn't know how to use digital payments and didn't trust them. The lack of trust stemmed from the perception that, because most payment operators were situated in major cities, they could only service that people and not respond to their individual demands. Demonetization occurred about the same time, I was considering solutions to those problems, and the focus on digital payments grew. That's how Fidypay, a fintech service designed for rural and semi-rural India, was created to address their problem.

How are you resolving last mile issues for the digital payment industry in India?

We are the most trusted API platform for fintech. The wonderful thing about our company is that we are able to assist any sector that wishes to make use of technology in order to facilitate any of their financial services. We've already proven ourselves capable of meeting the requirements of a wide range of industries. We make significant investments in research and development for our products before releasing any new products or services, and we currently have a number of such products in the development stage. These products will assist Indian businesses in transformation in the way in which they conduct banking and trade. Another aspect is that people were sceptical of digitalization when we initially started. However, in the last two to three years, especially in Covid, we have witnessed a significant surge in payment systems as people have realised the importance of comfortable, convenient, and hassle-free transactions. Our goal is to complete the final part of the journey, during which a few spots still require aid from gamers such as us.

What are the challenges in terms of establishing the threat proof process?

The difficulties in tiers-3 and tier-4 are caused by a lack of financial knowledge or awareness; secondly, if a person is hesitant to engage in transactions online, the trust issue is diminished; and thirdly, if an accident takes place, such as a sale taking place with the wrong account or the person being unable to find the details or money being debited, these kinds of circumstances generate fear. In this context, he is unsure of what to do, which means he is unsure of whom to communicate with and what kind of effort should be taken. In addition, as a result of his lack of proper mindfulness, they frequently contact banks, only to be directed to the said call centres, where the number of processes and details, such as furnishing address, transaction details, etc., take away the individual's ability to have peace of mind.

What is the benefit of having operations in non-metro cities?

Starting a company in a location that is not a metropolitan hub comes with a variety of distinct benefits. Despite the fact that it is easier to network in large cities, smaller towns have a distinct sense of community that makes it possible for enterprises to participate in the affairs of local communities. Knowing that even the smallest cities desire their businesses is reassuring to a great number of company owners. One significant benefit is that you will be able to cut your prices and expenses by a significant amount. Also, many people have the false impression that brilliance is in short supply in cities with a smaller population, despite the fact that this is not the case. Because of their size, small communities make it much simpler to find the suitable personnel, and there are numerous opportunities for the creation of new jobs and innovations. In particular, the presence of a significant number of champions in the local ecosystem is advantageous for startups located in smaller locations. Everyone on our team is a native of MP, and just look what a fantastic foundation they've established.

What is your company's vision?

FidyPay's objective is to contribute to the development of digital Bharat and to further democratise digital inclusion across the country, owing in large part to the efforts that the Indian government is making on behalf of rural India. We are of the opinion that in the not-too-distant future, rural India will serve as the nerve centre of all of India's future development. Everyone in India will benefit from the booming economy, which will be made possible by expanding digital connectivity in rural areas and reducing reliance on cash transactions.