“Government of India and Asian Development Bank (ADB) sign $23 Million Loan agreement to enhance Fintech Ecosystem"

The Government of India and the Asian Development Bank (ADB) have officially partnered in a ground-breaking $23 million loan agreement aimed at strengthening the Fintech landscape through enhanced education, research, and innovation at Gujarat International Finance Tec-City (GIFT-City).

In a significant move, Ms. Juhi Mukherjee, representing the Department of Economic Affairs under the Ministry of Finance for the Government of India, and Mr. Rajesh Vasudevan, Officer-in-Charge of ADB’s India Resident Mission, inked the loan agreement for the Promoting Research and Innovation through Development of Fintech Institute at GIFT-City Project.

GIFT-City, a collaborative initiative of the Government of India and the State Government of Gujarat, stands as a pivotal platform for nurturing India's Financial Services and Fintech Ecosystem.

Following the agreement signing, Ms. Mukherjee highlighted the transformative potential of establishing an International Fintech Institute (IFI) within the project scope. The IFI aims to secure Fintech education, elevate startup success rates, and propel research and innovation in the sector.

Mr. Vasudevan emphasized the project's focus on market-driven Fintech skills programs, fostering an enabling environment for private sector investment, and enhancing collaboration across industries, skills development institutes, and development partners. This concerted effort seeks to catalyze holistic growth within India's Fintech Ecosystem.

The IFI, condemned to be established in collaboration with esteemed global institutes and universities, will offer industry-aligned fintech training programs adhering to international standards. Moreover, the institute will actively promote innovation and entrepreneurship, particularly among women-led startups, by providing incubation and acceleration services. Strategic partnerships with industry players and venture capital funds will further bolster the growth trajectory of fintech startups.

These multifaceted interventions are assured to submit significant benefits, including increased employment opportunities, enhanced workforce competitiveness, and increased productivity in emerging and sustainable technologies.

Under the ADB program, dedicated support will be extended towards research ventures focusing on innovative solutions and technologies across Climate Fintech, Regulatory Technology, Social Inclusion, and Gender Equality in Finance. Additionally, the project aims to establish a comprehensive state Fintech readiness index and develop novel solutions to address emerging technological trends.