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India’s Fintech Future Gets a Boost in Union Budget 2024–25
India is going digital faster than ever. The Union Budget 2024–25 shows that the government wants to support this growth—especially in the fintech world. Whether it’s improving tax policies, adding more internet access, or keeping online payments safe, this year’s budget offers many benefits.
At NBFC Advisory, we help fintechs, NBFCs, and digital lenders follow the rules, grow faster, and stay ahead.
What This Blog Covers:
- Taxes and rewards for startups and digital businesses
- New rules that help protect users and improve trust
- Internet and mobile upgrades to reach more people
- Online safety through better cybersecurity
- Financial inclusion so more people can use fintech tools
Big Push for Digital Payments
The government is spending ₹1,500 crore to boost digital payments like UPI and RuPay. These payments are easy, fast, and secure.
💡 Did you know? Over 13 billion UPI transactions happen every month! That’s three-fourths of all digital payments in India.
This money will help small shops accept digital payments. That’s great news for fintech apps and payment platforms!
This also gives a chance for new players in the market to partner with banks and serve more people, especially in smaller towns and cities.
Fintech Tax Benefits
✅ 1. Tax Breaks for Startups
Startups now get a tax holiday until March 2025. This gives them more time to grow before paying taxes.
Also, if a startup’s ownership changes, it can still keep its losses for 10 years. This is helpful because fintechs often change as they grow.
These changes give confidence to investors and allow founders to build strong business models without worrying too much about tax stress in early years.
✅ 2. Easier Licensing for Payment Gateways
If you want to run a payment platform, you need a Payment Gateway License from RBI. Here’s what you need:
- ₹15 crore in net worth
- Strong data security and tech systems
- Anti-money laundering and fraud plans
- Proof-backed business plan
Read our full guide on how to get your license.
With the new budget, fintechs must pay more attention to rules and audits—good for long-term growth and trust.
🌐 Better Internet = Bigger Reach
The budget gives:
- ₹25,000 crore for internet in villages
- ₹10,000 crore for 5G rollout
This means more people will be able to use fintech apps for banking, loans, and insurance. More users = more business.
Also, fintechs can now think about offering local-language support, voice-based apps, and offline features to serve rural users better.
🔐 Rules & Safety
🛑 1. More Oversight on Lending Apps
The government wants to stop bad lending apps. So, they’re setting clear rules:
- Everyone must do proper KYC
- Interest and fees must be fair
- All terms must be clear to customers
This builds trust and makes the market safer. Fintechs that follow these rules will stand out and win user loyalty.
🟢 2. Easier KYC for Users
Now KYC can be simpler if people already have Aadhaar or bank records. This makes it easier for more people to join fintech platforms.
This step is important for onboarding millions of new users in rural and semi-urban areas, where paperwork is often a hurdle.
Support for Small Business Loans
The Credit Guarantee Fund is expanding, helping MSMEs get easier access to loans.
Fintechs can:
- Offer small loans online
- Use AI to assess creditworthiness
- Partner with banks for co-lending
Digital lending platforms can grow fast with this support if they stay RBI-compliant. It’s a great time to build tech tools for small business finance.
Know More: Digital Lending Guidelines in India: What Fintech Startups Must Follow
Cybersecurity Gets a Boost
With ₹500 crore set aside, the government is serious about protecting online finance. Fintechs must:
- Use secure data systems
- Conduct regular system checks
- Set up fraud prevention protocols
We help fintechs build safe, smart systems that meet RBI standards. This will protect users and boost confidence.
Real Growth, Real Challenges
🌟 What’s Working:
- More users adopting UPI
- Startup-friendly tax rules
- Faster onboarding with simplified KYC
- Cleaner, safer lending ecosystem
⚠️ What Needs Attention:
- UPI is still not monetized (zero MDR)
- Security and compliance costs are rising
- Smaller fintechs need expert support to keep up
If fintechs plan well and get expert advice, they can grow without running into trouble.
NBFC Advisory: Helping Fintechs Succeed
The Union Budget shows that fintech is a key part of India’s future. Now is the time to build simple, secure, and inclusive financial tools.
We offer:
- RBI licensing (NBFC, Payment Gateway, etc.)
- Regulatory audits and compliance support
- Smart scaling strategies for fintech startups
We’ve helped many companies launch, grow, and stay compliant.
👉 Want expert help with licensing, RBI rules, or scaling your fintech idea?
📞 Call NBFC Advisory: +91 93287 18979
🌐 Visit: nbfcadvisory.com
With the right support, your fintech journey can be smoother, safer, and more successful than ever. Let’s build the future of finance—together.
Related Post : The Future of Fintech in India: Trends to Watch in 2025 & Beyond
