Paytm and Govt. are Shaping India’s Fintech Future

India’s startup ecosystem has seen unprecedented growth with more than 1.64 lakh firms being recognized across the country by the Department for Promotion of Industry and Internal Trade (DPIIT). Paytm has been actively supporting fintech firms to revolutionize the digital payments market in India. Paytm is helping businesses grow and invent by connecting them to markets, financially, and providing infrastructure through its services. Despite the current obstacles, fintech hardware firms offer a lot of opportunities in the changing digital economy. The number of businesses that have directly profited from recent government initiatives is unknown but their impact is huge.

As government initiatives continue to evolve, fintech startups can expect:

●    More funding opportunities through grants and venture capital support.
●    Incentives for local manufacturing of fintech devices.
●    Stronger collaborations with established players like Paytm.
●    Regulatory support to ease business operations and compliance.

Driving Fintech Innovation

Fintech hardware manufacturing is one of the key focus areas for government backed startup initiatives. It includes startups building Soundbox payment devices, Point of Sale (PoS) terminals, Electronic Data Capture (EDC) machines, all of which are critical for India’s digital payments revolution.

Here, Paytm, India’s number one payments platform, has come together with the government to grow fintech at scale. While the startups that are benefiting from these initiatives have not been disclosed, the collaboration is about improving financial inclusion, promoting local manufacturing and boosting innovation. As 'Make in India' and 'Digital India' gain traction, the government is eager to create domestic fintech solutions. Paytm is actively supporting fintech hardware startups working on Soundbox technology, PoS (Point of Sale) devices and EDC (Electronic Data Capture) solutions.

Paytm’s Role in Fintech Startups

• Fintech Startups get access to the latest technology and research resources to develop and refine the payment hardware solutions.
• Commercial Viability: Paytm’s merchant network is so extensive that startups can integrate their solutions into real world use cases and scale and commercialise them.
• Fintech Accelerator Programs: Paytm is providing emerging startups opportunity of collaboration through their fintech accelerator programs like PayBazar and MishiLab, which provide mentorship and funding.

Success Stories of Fintech Startups in India

●    Indian Fintech Startups have contributed quite a bit in this industry using the growing digital payments ecosystem:
●    Pine Labs - PoS solutions veterans, Pine Labs has been there to digitise payments for every small and big business.
●    This startup offers cost effective mobile PoS solutions to merchants to accept card payments hassle free.
●    Ezetap: It’s a leading smart PoS systems start out that has authorized digital change across different verticals.
●    Razorpay - While being a payment gateway, Razorpay has expanded its hardware payment solutions to make India’s fintech more robust.
●    ToneTag is an innovative sound based start up that is disrupting ways of payments without a touchpoint.