New Delhi: Non-Banking Financial Companies (NBFCs) are the future leaders of the BFSI sector, holding potential and spark to innovate and resolve several roadblocks currently existing in the banking sector, experts opined on Friday in the national capital.
The experts were speaking during 3rd NBFC100 Tech Summit organised by Elets Technomedia and powered by The Banking & Finance Post, Asia and the Middle East’s premier bimonthly magazine.
Prem Narayan, Deputy Director General, Unique Identification Authority of India (UIDAI), Government of India, inaugurated the summit earlier in the day.
Congratulating Elets Technomedia for organising an NBFC-centric summit, Narayan explained the role of NBFCs in the Indian financial sector, Narayan said, “NBFCs form an integral part of Indian financial system. It is helping in reaching out to the unbanked section of Indian society, especially the Micro Small and Medium Enterprises (MSMEs) segment… The BFSI sector has undergone a paradigm shift.Cloud Computing plays a significant role in this regard.”
Several other eminent dignitaries namely Raman Aggarwal, Chairman, Finance Industry Development Council, Alexis Bossuyt, Trade and Investment Commissioner, Flanders Investment and Trade, Embassy of Belgium and Deepak Kapoor, Co-founder, InfoAxon Technologies, were also the part of the inaugural session.
Speaking on the occasion some experts highlighted the significance of regulatory authorities in terms of NBFCs.
“NBFCs were not regulated before 1991. Prior to that, there were a lot of scams that forced the government to take step against these financial institutions. This sector has become a focus point of the Indian economy,” said Raman Aggarwal, Chairman, Finance Industry Development Council. “NBFC is a young and dynamic entrant ready to roll in the BFSI sector. NBFC sector is trying to cover up what is lacking in the banking sector.”
“NBFCs cater to a different class of borrowers. It is not only boosting Financial Inclusion, it is also emerging as a leader in the financial segment,” he added.
Tech-driven innovations are playing a very important role in transforming the way financial services are undertaken. NBFCs too are embracing technology for a brighter future.
Among the participants was Alexis Bossuyt, Trade and Investment Commissioner, Flanders Investment and Trade, Embassy of Belgium.
“Technology is changing the way financial institutions are reaching to its customers and customers are using financial services. Technology is reshaping the future of banking. Fintech has a pivotal role to play in this segment. I see a huge growth of NBFCs in the years to come. Its assistance is definitely going to boost India’s economy that is already escalating,” said Bossuyt at the event.
About Elets: Led by Dr Ravi Gupta, CEO and Editor-in-Chief, Elets Technomedia is a premier technology and media research organisation of Asia and the Middle East. Since 2003 it’s been championing the cause of the governments, building knowledge-sharing platforms and highlighting the importance of ICT for governance, health, education, urban development, and banking and finance sectors through conferences, publications, and knowledge portals.