By the end of this decade, US-based private equity firm Sequoia Capital expects India's financial services providers to be valued at $2.5 trillion, with fintech firms grabbing a fifth of that pie as global investors line up to buy a piece of the fast-growing sector.
Valuations for India’s fintech companies should jump ten times to $500 billion by 2030 as the traditionally underbanked South Asian nation witnesses the highest digital adoption globally, with retail online transactions growing five-fold in the last two years.
“That’s the opportunity -- 10 times in nine years, that’s what is exciting,” said Ishaan Mittal, managing director at Sequoia Capital India, at a Razorpay organized conference Thursday. “That’s why Sequoia Captital India partners with many many fintech companies” in the country.
Sequoia Capital has several start-up investments in India. Groww, Razorpay, and Pine Labs Ltd. are among the dozens of top financial services companies that international investors are eyeing.