Maharashtra minister unveils major support for MSMEs and startups, eyes global fintech hub status for Mumbai
During the 9th Global Economic Summit on Fintech: Accelerating the Digital Revolution, held from August 8-10, 2024, at the World Trade Center Mumbai (WTC Mumbai), Samant inaugurated the exhibition and outlined the governments strategic vision.
Maharashtra's Minister for Industries, Uday Samant, has pledged robust support for micro, small, and medium enterprises (MSMEs) and startups, aiming to elevate these sectors to the same status as ultra-mega projects. This commitment is part of the state’s broader ambition to transform Mumbai into a global fintech hub.
During the 9th Global Economic Summit on 'Fintech: Accelerating the Digital Revolution,' held from August 8-10, 2024, at the World Trade Center Mumbai (WTC Mumbai), Samant inaugurated the exhibition and outlined the government's strategic vision. The event was organized by the World Trade Center Mumbai and the All India Association of Industries (AIAI).
In his address, Samant emphasized the revolutionary impact of fintech on the financial services sector and its potential to bolster MSMEs and startups. “Our government will fulfill the Prime Minister's vision of transforming Mumbai into a global fintech hub,” Samant stated. “We will extend the same level of support to MSME and startup projects as we do for ultra-mega projects, recognizing that these enterprises are the backbone of our economy. Maharashtra aims to significantly contribute to India's target of becoming a USD 5 trillion economy, with a vision of achieving a USD 1 trillion economy ourselves.”
Samant also expressed the government's intention to revive struggling industries, particularly MSMEs in Maharashtra, and called for support from WTC Mumbai and AIAI in this endeavor.
V. Anantha Nageswaran, Chief Economic Advisor to the Government of India, highlighted India's rapid growth in the fintech sector. “India is the world's third-largest fintech service provider, with a fintech adoption rate of 87 percent, compared to the global average of 64 percent. We received 15 percent of global fintech funding, and the digital lending market, valued at USD 270 billion in 2022, is projected to have reached USD 350 billion last year,” he noted.
Nidhi Choudhari, CEO and Nodal Officer at Maharashtra State Innovation Society, detailed the state's support for fintech startups. “Maharashtra boasts the highest number of fintech startups in India, particularly in Mumbai. Our Innovation Society assists startups with national and international patents, quality certification, and provides grants up to Rs 5 crore for incubation centers. We also manage two funds exclusively for startups, including Maharashtra Innovation and Transformation Capital with IDBI Capital and a Rs 100 crore fund with SIDBI and the World Bank,” Choudhari explained.
Ashish Shah, Director of the Division of Country Programmes at the International Trade Centre, Geneva, highlighted Mumbai’s rapid growth in the fintech sector. “Mumbai is the second fastest-growing fintech ecosystem globally and is on track to become a global fintech hub,” Shah asserted. He also urged Indian companies to explore fintech opportunities in Africa, noting that nearly 50 percent of Africans are unbanked, presenting significant opportunities for Indian fintech solutions.
Vijay Kalantri, Chairman of WTC Mumbai and President of AIAI, suggested reviving SICOM and the Maharashtra State Finance Corporation to enhance MSME funding. Rupa Naik, Executive Director of WTC Mumbai, emphasized that fintech solutions could bridge the Rs 19 lakh crore credit gap faced by the MSME sector in India, facilitating business expansion and job creation.
Somesh Batra, Vice Chairman of WTC Mumbai, underscored the need for continuous innovation to make India the global fintech capital. He highlighted the role of technologies like blockchain in fintech sectors such as InsurTech and WealthTech.
Carolina Quintana, Director of the Asia Pacific Region at the World Trade Point Federation, discussed the evolving landscape of financial services, noting that certification and trust are crucial for accessing global markets.
Jayakumar S. Pillai, Deputy Managing Director at IDBI Bank, highlighted RBI’s technology sandbox and other innovations shaping the fintech sector. Anindya Sunder Paul, Chief General Manager at SMEBU, State Bank of India, noted the pivotal role of fintech in realizing the Government’s vision of a digitally empowered nation, citing SBI’s extensive use of digital platforms for transactions and credit delivery.
The summit concluded with a shared vision of Mumbai’s potential as a leading global fintech hub, supported by a robust ecosystem of innovation and investment.
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