Addressing the same event on Tuesday, RBI Deputy Governor T Rabi Sankar had highlighted the need for self-regulation as well.
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Pointing out that at times the regulator needs to step in to protect consumers and ensure there is consumer centricity in governance, Das said the industry should not look at it as an impediment.
Over the last one year, the RBI has clamped down on multiple aspects of the fintech industry, which had been resorting to coercive tactics to grow its business. Issues around data privacy, aggressive collection tactics and building products which are pushing regulatory boundaries have been called out by the RBI. Das touched upon all these concerns in his speech.
The governor pointed out that by laying out clear governance structures, fintechs can show their commitment towards accountability, transparency and responsible decision-making. He also highlighted the need for every segment of the sector to come in and play an important role in shaping it up.
“Regulators play a critical role in addressing arbitrage, ensuring compliance with existing laws, and adapting regulations to technological advancements. Industry associations can facilitate development of best practices. The most critical role, however, has to be played by fintechs themselves. They must proactively adopt high standards of governance,” Das said.
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Laying out the opportunity in this space, Das said the Indian fintech sector will generate around $200 billion in revenue by 2030, contributing 13% of global fintech revenues. The central bank is also conducting CBDC (central bank digital currency) pilots, and Das said that around 13 banks are conducting retail CBDC pilots in 26 cities across the country. There are 1.46 million users and 310,000 million merchants who are part of the project, he added.
