Digital payments to likely grow at 30-35% for Fino Payments Bank versus 25% sectoral growth, says Rishi Gupta, MD & CEO

Fintech and digital payments sector is going to tread well this year as the previous year saw a growth despite COVID-19 due to digitalisation, said Rishi Gupta, Managing Director & Chief Executive Officer at Fino Payments Bank, in a conversation with Swati Khandelwal, Zee Business.

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He further added, "We witnessed a growth of 51 per cent in the first half in transactions. There was also a growth of 36 per cent in revenue in the first six months."

While speaking about these expectations in the current year, Gupta said, "Payments Banks and Fintech are rapidly expanding reach, expected to grow by 30-35% in 2022."

Gupta also pointed out that the markets expectations is that the digital payments will grow by 25 per cent. He added, "We will try to grow by 30 to 35 per cent as our company's growth has been always more than the market. We had achieved growth more than this earlier. So, it is expected that 2022 will bring in more growth and better numbers."

It has to be noted that the Fino Payments Bank has received the Reserve Bank of India's approval for commencing international remittance business under the Money Transfer Service Scheme (MTSS).

When asked about this, Gupta informed, "We are already an active player in domestic money transfer and there is almost 30 per cent market share in domestic money transfer. "

Under the MTSS scheme, Fino Payments Bank can conduct business with an overseas partner. Gupta said, "This is a market of $20 to $25 billion per annum. The majority of the remittances take place in India. We are moving forward with a target of 5 per cent market share."

There is also a benefit for Fino Payments Bank as pointed out by Gupta. He said, "Our company is quite spread out and is present in Gujarat, Maharashtra, Punjab, Kerala, Uttar Pradesh, Bihar and we are quite active in these places with the help of our merchant network. Through this, the savings account that we will open and the withdrawal services that we will provide, there is also going to be a cross-sell opportunity to our customers."  

This will further strengthen the digital strategy of cross-selling of the company. This will also benefit Fino Payments Bank in other ways other than the international remittance.