New Delhi: Finance Minister Nirmala Sitharaman on Wednesday urged India’s fintech startups to innovate solutions to tackle the growing menace of digital arrests, fly-by-night cybercriminals, and deepfake scams, which are increasingly threatening consumer trust in digital platforms.
Speaking at the Digital Payments Awards 2025 ceremony, the Finance Minister lauded fintech firms for accelerating financial inclusion and expanding the digital payments ecosystem to India’s remotest corners. However, she stressed that the sector must now step up to address the next-generation cyber risks.
“It is important to ensure that startup companies come up with solutions so that people are not arrested at home digitally, or fly-by-night operators don’t take away their money,” Sitharaman said.
Deepfakes and Fraud Threaten Public Trust
Calling deepfake technology a growing threat causing “a lot of damage to the public at large,” the Finance Minister emphasized the need for fintech companies to proactively offer protective digital tools to detect and prevent cyber manipulation and financial scams.
She noted that while India has emerged as a global leader in real-time digital transactions, the rise in cybercrime and fraudulent practices could dampen the trust essential for further fintech penetration.
Call for Greater Support to MSMEs Through Digital Lending
Sitharaman also called on fintechs to expand digital lending access for Micro, Small and Medium Enterprises (MSMEs), which are crucial for employment generation and GDP growth. “We need solutions for the newer challenges which are arising, while also ensuring credit inclusion,” she said.
India’s Fintech Sector: A Global Model
Highlighting India’s global success in building a Digital Public Infrastructure (DPI) model, Sitharaman said Indian fintech solutions are now being recognised as potential global public goods that can benefit both emerging and developed economies.
“Our players must aim to export our successful models abroad and capture global markets. We have the talent, we have the market scale, and we have the proven solutions,” she said.
She mentioned that international UPI merchant payments are now accepted in seven countries: Bhutan, France, Mauritius, Nepal, Singapore, Sri Lanka, and the UAE.
Digital Growth Numbers Tell a Powerful Story
- India now accounts for nearly 50% of all real-time digital transactions globally.
- Since 2014, Rs 44 lakh crore has been transferred via Direct Benefit Transfer (DBT), saving Rs 3.48 lakh crore through leakages plugged by DPI.
- A World Bank study found India achieved 80% financial inclusion in just six years—a feat that would typically take five decades, the Minister said.
- The Indian fintech market is expected to surpass USD 400 billion by 2028-29, growing at a 30% annual rate.
Final Message: ‘Innovate, Include, Inspire’
Concluding her address, Sitharaman offered a rallying call to the fintech community:
“Together, let us ‘Innovate, Include, and Inspire’. Innovate new solutions fearlessly, include every citizen in your vision, and inspire the world with what India can achieve.”