The UK and India wish to strengthen their fintech collaboration, which might enhance entry to international expertise and new sources of capital.
A brand new report from the India-UK Monetary Partnership (IUKFP) makes a sequence of suggestions for each international locations’ governments and regulators.
They encourage the UK to implement the suggestions of the Kalifa Evaluate and name for each international locations to study from one another’s successes.
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The report requires the UK to launch a UK-India mobility partnership with a fintech lens, to safe entry to international expertise.
It additionally suggests a coalition on digital ID, studying from India’s expertise from its personal profitable scheme and with cost programs.
And it proposes the event of the UK as a complementary supply of capital for Indian fintech corporations and unicorns which can be pondering of going public.
In the meantime, the report urges India to leverage the ‘India Stack’, contemplating how entry to the brand new account aggregator framework, which permits knowledge to be shared amongst a number of events, may very well be broadened to extra home and worldwide corporations and promote innovation.
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It additionally highlights areas together with inter-operability and financial institution switching, the place it says India can study from the UK’s expertise with open banking.
It additionally suggests India might take into account the event of fintech platforms for enterprise financing, which might encourage cross-border commerce and capital flows between India and the UK.
And eventually, it proposes enhancing the fintech ecosystem with cybersecurity and knowledge safety, allying India and UK data-sharing regimes to share greatest practices.
“The UK and India are each world-leading FinTech centres and make pure companions on monetary innovation,” mentioned Invoice Winters, group chief govt, Commonplace Chartered and UK chair of the IUKFP.
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“There’s a lot for us to study from our respective successes and far to achieve from our respective potential. We consider that if adopted, the suggestions set out on this report – which have been developed by companies throughout the UK and India – will assist to deepen and strengthen our collaboration and alternatives for development sooner or later.”
Uday Kotak, managing director and chief govt of Kotak Mahindra Financial institution and India chair of the IUKFP, added: “India and the UK have a long-standing financial relationship, with the UK being certainly one of India’s prime buying and selling companions. Each international locations even have world-class fintech ecosystems, making them pure companions in monetary innovation.
“The UK can study from India’s profitable expertise in cost programs whereas for Indian fintech corporations and unicorns, the UK may very well be an excellent supply for each development capital and rising know-how pool. The suggestions introduced on this report can additional improve the fintech ecosystem, benefitting monetary inclusion and the creation of latest benchmarks throughout the globe.”
The brand new report comes after India and the UK held the second assembly of the India-UK Monetary Markets Dialogue on 19 April 2023, to deepen bilateral ties within the monetary sector.