The Reserve Bank of India is in the process of setting up a multi-disciplinary committee to study the FinTech business in India.
FinTech, which means using technology to offer financial services to end customers at a lower cost, has been a buzzword across the world in recent years, with little or no regulation over their functioning.
KPMG in India and a Nasscom in a report have forecasted that the Indian FinTech market is set to double to $2.4 billion in the next four years. It is in a nascent stage in the country, and many feel that start-up firms in the space would disrupt the traditional banking and financial services model.
The committee, to be headed by Mr. Vishwanathan, will have representatives from other regulators such as Securities and Exchange Commission of India, Insurance Regulatory Authority of India, banks and other stakeholders.