The Union Budget 2023 paves the way for a brighter future and gives a significant boost to the fintech sector by simplifying the KYC and identity verification process. A one-stop solution for identity and address reconciliation using an expanded DigiLocker and the use of PAN as a business identifier for digital systems will significantly reduce compliance for fintech companies. Simplifying KYC norms on a risk-based principle will enable greater ease of transactions and reduce dropout rates. Players will have access to anonymized data, allowing them to provide more innovative and customized financial services to customers, driving financial inclusion and promoting economic growth. The government’s commitment to creating a supportive environment for fintech companies recognizes their critical role in driving India’s economy. This budget is quite favorable for the fintech ecosystem in India.
Union Budget 2023 Reaction Statement- Mr Pushkar Singh, Partner at Tremis Capital
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