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Tag: MeitY

  • New IT Rules Amendments Aim to Simplify Content Takedown Process in India

    To expedite the process of content removal by digital intermediaries, the IT ministry (MeitY) announced changes to the IT Rules, 2021 on 22 October. The new regulations, known as the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Amendment Rules, 2025, establish senior-level accountability and provide detailed guidelines for removing “illegal” content.

    The revised regulations will take effect on November 15. According to the new regulations, which only apply to Section 3(1)(d) of the IT Rules, only specific high-level officials are now authorised to notify intermediaries to remove illegal content. This covers a senior official who holds a position higher than joint secretary. “Adequate government or its agency” was all that was mentioned in the prior version of the IT Rules. A takedown request may be made by a director or an officer of comparable rank acting through a single corresponding officer in the event that there is no joint secretary.

    New IT Rules Put Bigger Scanner on Online Content

    The new guidelines also provide police officers the authority to order takedowns. Social media platforms may receive such notifications from law enforcement agencies through a specifically authorised person who is not less than the rank of Deputy Inspector General of Police (DIG).

    Additionally, an officer at least as high as the secretary of the relevant department will now periodically evaluate all such removal orders. According to the notification, this procedure was put in place to make sure that these notifications are appropriate, necessary, and compliant with Section 79(3)(b) of the IT Act. All such takedown requests must “clearly” state the nature of the illegal act, the particular identification (URL) or other electronic location of the information, and the legal foundation and statutory provision invoked, according to the new standards.

    Weeks after social media site X’s appeal against the Center’s use of Section 79(3)(b) of the IT Act to prohibit content was purportedly rejected by Karnataka’s high court (HC), the revisions were made. The Centre seems to be simplifying the structure to avoid any legal problems, as the Elon Musk-led platform now intends to contest the decision.

    New Rules Segregate Real from AI Content

    The notification was sent out on the same day that the IT ministry requested public input on changes to the IT Rules, 2021, that would be made to combat deepfakes. The Centre intends to require all online platforms to identify all deepfakes and AI-produced content as “synthetically generated information” in accordance with the draft rules.

    The government also intends to increase the pressure on big social media companies to ask users to confirm whether the stuff they publish is artificially created. Technical mechanisms, such as automated tools, must subsequently be put in place by these platforms to confirm that user assertions about AI-generated material are accurate. Legal repercussions and the loss of safe harbour protections will follow noncompliance with these suggested standards.

    Quick Shots

    •MeitY
    notifies changes to the IT Rules, 2021 to streamline content takedown by
    digital intermediaries.

    •New
    rules take effect from 15 November 2025.

    •Police
    officers, via designated authorities of DIG rank or higher, can also order
    content removal.

    •Department secretaries or
    equivalent will review all takedown orders for appropriateness and
    compliance.

  • Govt Extends Electronics Manufacturing Scheme Deadline to Sept 30 to Boost Participation

    The Electronics Component Manufacturing Scheme (ECMS) application window deadline has been extended by the Centre until September 30. Applications under ECMS were previously due on July 31, 2025. According to a Ministry of Electronics and Information Technology (MeitY) notification, Ashwini Vaishnaw, the minister of IT, approved the adjustment.

    INR 8,000 Cr in Bids Received, INR 59,350 Cr Investment Targeted

    Notably, under the ECMS plan, the Centre has already received bids totalling between INR 7,500 Cr and INR 8,000 Cr. The ministry is expected to sanction projects under the INR 22,919 Cr program by August or September, according to a number of earlier reports.

    Scheme Aims to Create 91,600 Jobs & Scale Output

    This plan to concentrate on non-semiconductor electronics components was accepted by the union cabinet on March 28. It seeks to draw in INR 59,350 Cr in investment, which will lead to INR 4,56,500 Cr in output and the creation of 91,600 new direct jobs in addition to numerous indirect jobs. With a one-year gestation period, the system has a six-year duration. A portion of the incentive’s payout is also correlated with meeting employment goals.

    Rare Earth Shortages & Global Trade Tensions Hit Industry

    Cross-border trade disputes are making it challenging for Indian manufacturers to advance smoothly, even as the government promotes the “Made in India” slogan to boost domestic production. A number of ECMS companies raised concerns earlier this month about missing first-year incentive targets because they lacked the necessary resources.

    This follows previous Chinese export restrictions on several rare earth elements. To put things in perspective, the incentive payout for the first year under ECMS is contingent upon a number of goals, including employment creation, capital spending, and output value.

    However, Indian manufacturing would also be hit hard, as China has banned the supply of seven essential rare earth elements in retaliation for Donald Trump’s announcement of a 34% tariff on Chinese imports into the US. India uses rare earth metals to make consumer gadgets, conventional cars, and electric vehicles, among other things.

    India’s Electronics Manufacturing Surge: FY24 Highlights

    In terms of the industry’s progress thus far, India manufactured electronics products valued at INR 9.52 Lakh Cr in FY24 compared to INR 1.90 Lakh Cr in FY15. With 99% of smartphones being produced domestically, the nation has also seen a significant decrease in its reliance on imports, according to the Economic Survey 2024–25.

    Policy Support: SEZ Norms Relaxed to Boost Local Manufacturing

    Even in her 2025–2026 budget statement, Finance Minister Nirmala Sitharaman stated that the government wants to provide the local electronics equipment industry with a much-needed boost. Since then, the industry has seen a number of advancements. The Centre changed the regulations governing special economic zones (SEZs) last month to give manufacturers of semiconductors and electronic components more latitude.

    The minimum amount of land needed to establish SEZ units has been lowered from 50 hectares to 10 hectares under this new notification. Smartwatches, earbuds, display module sub-assemblies, Li-ion battery cells, camera module sub-assemblies, battery sub-assemblies, and various other module sub-assemblies, as well as printed circuit boards (PCBs) and hardware components for mobile and information technology, will all be covered by the relaxation.

    Tata Electronics and German engineering behemoth Robert Bosch GmbH teamed together earlier this month to concentrate on semiconductor chip manufacturing and packaging at Tata Electronics’ planned sites in Gujarat and Assam.

  • MeitY Sets Up Panel to Draft National Framework for GCCs in Strategic Tech Push

    A group has apparently been established by the Ministry of Electronics and Information Technology (MeitY) to develop the national framework for global capacity centres (GCCs).

     The National Association of Software and Service Companies (NASSCOM), GCC consulting firms Zinnov Consulting and ANSR, accounting giant KPMG, and the national investment promotion and facilitation agency Invest India make up the newly established committee, according to a media report that cited people with knowledge of the situation.

    In order to centralise and deliver its business services and technology for worldwide operations, a multinational corporation established a GCC in-house subsidiary in a particular place. Notably, a national framework would be established to direct states in promoting GCCs in tier II cities, according to the Union Budget 2025–2026.

    The Centre stated at the time that this framework would recommend actions such as infrastructure, talent availability, bylaw amendments, and possible industry cooperation.

    Madhya Pradesh Showing Keen Interest to Lead Digital and Technological Sector

    Madhya Pradesh also unveiled a specific GCC policy earlier this year in an effort to establish itself as a centre for technology and the digital world.

     At the time, the state claimed that the goal of this strategy was to draw in investments in fields including business process outsourcing (BPO), engineering, finance, and information technology.

     In order to oversee the implementation of this strategy, the Madhya Pradesh State Electronics Development Corporation Limited (MPSeDC) was selected as the nodal agency. In addition, Bengal intends to implement GCC and semiconductor regulations to entice investment in the GCC, drones, and semiconductor industries.

    GCC Market Sprawling its Nexus in India

    India is currently experiencing a revolution in technology. A number of AI, machine learning, cloud computing, and blockchain technologies have emerged and been adopted throughout the last ten years.

    According to a Zinnov analysis, over 86% of Indian GCC countries used AI and ML at scale for hyperpersonalisation, process automation, and predictive analytics in FY24. In addition, 82% of the centres now use cloud computing as their core infrastructure. In addition to serving the IT and BFSI sectors, the GCC market in India is at the forefront of innovation in fintech, agritech, healthcare, and logistics.

    The result of all of this is the development of ability and skills. More than 1.9 million professionals were employed in the Indian GCC in 2024, according to many media estimates.

    The government estimates that by 2030, the GCC market in India will be worth $105 billion. Around 2,400 GCC countries are expected to employ over 2.8 million people by that time, securing India’s position as a major global centre for innovation and business operations.

  • Race Heats Up: 7 Firms Make the Cut in MeitY’s AI GPU Tender Round 2

    According to media sources, the IndiaAI Mission has selected seven businesses for technical review under the second phase of the graphics processing units (GPU) tender, including partners of Google Cloud, Oracle, and Amazon Web Services (AWS).

    The companies Cyfuture India, Sify Digital Services, Vensysco Technologies, Locuz Enterprise Solutions, Yotta Data Services, Ishan Infotech, and Netmagic IT Services (now NTT Global Data Centres & Cloud Infrastructure India, or NTT GDC India) have been invited by the Mission to present their technical proposals on May 14.

    MeitY Expects 15,000 GPUs

    In this round, the Ministry of Electronics and Information Technology (MeitY) anticipates receiving 15,000 GPUs. Locuz and Vensysco affirmed their partnership with AWS.

    Although the specifics of their collaboration for this proposal are unknown, Ishan Infotech is an Oracle partner and NTT-Netmagic is a Google Cloud partner in India. Appsquadz Software and AWS will be Vensysco’s consortium partners, according to Vikash Kumar Dubey, managing director of Vensysco Technologies.

    Vensysco will provide 2,300 GPUs, including 200 AWS Inferentia 2 GPUs, 100 AWS Trainium 1 GPUs, and 2,000 Nvidia H100 GPUs. In addition, it is providing 1,300 more GPUs this time around than it did the last time, which was 1,000.

    One of the five lowest (L1) bidders in the initial round was Locuz, which is currently owned by SHI International, a US IT infrastructure company.

    Yotta and Vensysco Emerged as L2 Bidders

    Among others, Yotta and Vensysco have been L2 bidders in the first round. Similar offers of 1,000 GPUs, comprising 700 Nvidia H100 GPUs, 200 AWS Inferentia 2 GPUs, and 100 AWS Trainium 1 GPUs, were made by Locuz and Vensysco in that round.

    Cyfuture India’s CEO, Anuj Bairathi, informed a news outlet that the company has placed purchase orders for 1,184 GPUs. These consist of AMD’s MI300 and MI325 GPUs, Intel’s Gaudi 2 and Gaudi 3 GPUs, and Nvidia’s H100, L40S, and A100 GPUs. Cyfuture, a cloud service provider with MeitY panels, developed Cyfuture.ai, a fully integrated AI platform.

    Technically, the business was not eligible for the GPU tender’s first round. ET’s queries for responses from IndiaAI, NTT GDC India, Google Cloud, Sify, Yotta, Ishan, and Oracle were not answered. In order to preserve its leadership in AI and national security, nations like the US have placed export limits on modern AI chips, particularly GPUs, making them a highly sought-after resource globally.

     In January, India formally began its INR 10,000-crore India AI Mission, in which empanelled bidders offered 14,517 GPUs at L1 prices, falling short of the 10,000 GPU threshold specified in the IndiaAI compute pillar.

    As part of the mission, the government is also providing investment funding and other forms of support to academia and industry to encourage the development of local language models. The goal of the action is to increase India’s AI capabilities.

  • To Stop Data Leaks, Centre is Thinking About Storing AI Models Locally

    According to reports, the Centre is thinking of storing AI models locally to reduce the risks involved and stop sensitive data from leaving India. This is in line with the government’s larger initiatives to fortify cybersecurity infrastructure and protect citizen data. S. Krishnan, secretary of the Ministry of Electronics and Information Technology (MeitY), stated that the Centre is allegedly planning to ratify Digital Personal Data Protection (DPDP) Act guidelines by April. This step will effectively prevent the leakage of personal data once the guidelines are put into action.

    Notably, the act requires strong security measures for managing personal data and gives the government the authority to limit cross-border data transfers. Krishnan also noted that the government is keeping a careful eye on Chinese LLM models because of possible data usage concerns, according to a news source. S. Krishnan stated that the real issue arises when data is shared via a mobile app or portal, as this can lead the data to leave the country and potentially influence how a certain model is trained. On the private side, the dangers of data leakage are significantly reduced if the model is housed in India.

    Rise of Cybersecurity in India

    As an indication of increased public awareness and greater surveillance capabilities, the MeitY secretary also emphasised the rise in cybersecurity incidents in India. This follows a few days after Krishnan reaffirmed the need for India to create more foundation models that address concerns specific to the nation and its languages. It is important to remember that India wants to become a worldwide leader in AI while maintaining national security. This is why the country is concentrating on localising AI models and enforcing strict data privacy rules. In keeping with this, India has also launched programmes like the IndiaAI Mission, which seeks to promote AI development through GPU purchase, public-private collaborations, and startup assistance. Additionally, the DPDP Act’s data localisation follows international trends in which countries are tightening regulations on cross-border data transfers. Global AI firms including OpenAI, Microsoft, Google, and Amazon are looking to establish or increase their local data storage in India as a result of this data localisation mandate.

    India’s AI Sector

    With the help of investors and the government, India’s domestic AI sector has advanced significantly in recent years. Consequently, since 2020, over 200 GenAI startups have raised over $1.2 billion. While companies like Krutrim and SarvamAI are developing Indic LLMs, others, like ObserveAI, are using AI to provide businesses with tailored solutions. In addition, the nation is using AI in many areas to improve operations and user experience, and by 2030, the domestic GenAI market is expected to reach $17 billion.

  • IT Minister Says India will have Its Own Web Browser

    Under the Aatmanirbhar Bharat project, the Ministry of Electronics and Information Technology (MeitY) initiated a bold challenge to create an indigenous web browser, marking a revolutionary step towards technical independence. The Centre for Development of Advanced Computing (C-DAC), located in Bangalore, carried out this project with the goal of encouraging innovation and strengthening digital independence. India’s IT industry, which brings in over USD 282 billion annually, is turning its attention to producing hardware and software domestically. Ashwini Vaishnaw, the Union Minister of Electronics and Information Technology, revealed the Indian Web Browser Development Challenge (IWBDC) winners. At a MeitY-hosted event on March 20, 2025, he highlighted his great delight in the attendees’ amazing inventions, exceptional inventiveness, and experience, as well as their tremendous progress in creating a dependable web browser that is suited to Indian demands. The advancements are a step towards empowering India’s digital future and achieving the goal of Atmanirbhar Bharat.

    Government Aims to Transform India into Product Nation

    In his remarks, Ashwini Vaishnaw highlighted the Government of India’s overarching goal of turning India from a service nation into a “product nation” that is self-sufficient in hardware, software, and technology. In keeping with this goal, IWBDC was established to create an indigenous web browser, and companies, students, and researchers eagerly participated in order to help India become more digitally independent. In order to facilitate the broad adoption of domestic digital solutions and to incentivise startups and industry to create competitive, secure, and scalable technologies that support India’s self-reliance, the Minister also emphasised the necessity of quickening the transition from innovation to large-scale productisation. Web browsing, email, eOffice, and online transactions are all made possible by the web browser, which acts as the main gateway to the internet.

    Benefits of Browsing on Indigenous Browser

    There are numerous benefits to using an Indian-made browser. First of all, it guarantees improved data security by keeping user data inside the nation’s boundaries, which promotes more control over private data. Second, it adheres to the strictest data security guidelines and protects privacy by complying with India’s Data Protection Act. Furthermore, any data produced by Indian nationals would stay in India, strengthening the nation’s digital sovereignty. Additionally, the browser will work with all of the major operating systems, such as Windows, iOS, and Android, guaranteeing widespread accessibility and device use. Speaking to the attendees, the Minister stated that the construction of India’s own web browser is a major first step in building an entire Indian digital stack. With Team PING, a startup, placing first runner-up and Team Ajna, another company, placing second runner-up, Zoho Corporation emerged victorious.

  • Final DPDP Guidelines to be Released in 8 Weeks

    According to government sources, public consultations on the draft Digital Personal Data Protection (DPDP) laws are now complete, and the final version could be released in the next eight weeks or so. The draft will not significantly alter anything. There won’t be another extension for receiving the remarks, according to reports. According to a media report, the administration has conducted numerous in-person meetings and received a significant amount of feedback, but no requests for extensions have been made. Officials don’t anticipate significant changes from the previous government publications.

    According to the official, several industry concerns around consent management—such as who would be the manager and other issues—as well as concerns with parental control, verifiable parents, and data localisation were received but have since been resolved. The report went on to say that the government will consider all of the concerns and suggestions and conduct a thorough analysis before releasing the final version. Before the final edition, everything needed to be put together, and input from other ministries, departments, and states was sought for any clarifications.

    Why MeitY is Conducting Back and Forth Communication?

    The official added that MeitY conducted a meeting with Nasscom, a trade association for the software industry, and that their input on “expected lines” would be taken into consideration. The sector requested that MeitY extend the time for comments on the proposed DPDP guidelines from January 3 to February 18. As a result, the deadline was moved to March 5. In August 2023, Parliament passed the DPDP Act, and the regulations were eagerly anticipated. It is also anticipated that the final regulations would provide clarity on the establishment of the Data Protection Board as well as the appointment and terms of service of the Chairperson and other Board members.

    Concerns Over Data Transfer

    Speaking about data transfer, one of the main issues facing the software industry, Ashwini Vaishnaw, Minister of Electronics and IT, stated that any restrictions on data movement under the DPDP rules will be implemented following stakeholder and committee consultation, as well as external sectoral experts, before a final decision is made. According to his statement, the government will operate in accordance with sectoral requirements because, in some cases, there may be no need for restrictions (on data transfer), while in other cases, such as the financial sector, there may be strict requirements; therefore, before making any decisions, stakeholders will be consulted.

    The rules, Vaishnaw previously told a media outlet, were a practical approach to regulation that aimed to strike a balance between innovation, regulation, and citizen rights. According to him, the main goal was to keep the regulations from becoming overly restrictive while still allowing for creativity.

  • MeitY’s DPDPA Draft Feedback Period Has Been Extended Until March 2

    Feedback on the draft Digital Personal Data Protection (DPDP) Rules, 2025, is due in 15 days, according to reports from the Ministry of Electronics and Information Technology (MeitY). The deadline will be moved from February 18 to March 3, 2025, a government official told a media house. An official notification confirming the extension is anticipated shortly, according to a media report. The provisional terms for implementing the DPDP Act, which was approved by Parliament in 2023, were outlined in the government’s January 3 release of the draft DPDP Rules, 2025. When the rules are finished and published, they will give the DPDP Act, which was published in the gazette on August 12, 2023, teeth.

    What New DPDP Act Says?

    Users under the age of 18 are considered children under the DPDP Act, which requires social media companies and online middlemen—also referred to as data fiduciaries—to have express parental approval before processing their data. According to the draft regulations, digital platforms can only process a child’s data with verifiable parental or guardian consent, which can be verified by a virtual token issued by an authorised body or voluntarily supplied identifying details. Before processing any child’s personal data, MeitY has suggested that all data fiduciaries put in place the proper organisational and technical safeguards to guarantee compliance.

    Tech Companies Meeting Government to Carve a Perfect Act

    The founders of a number of cutting-edge tech firms, including MobiKwik, OYO, ixigo, and Razorpay, reportedly met with government representatives last month and expressed their worries on the proposed regulations. According to media reports, the talks focused on the role of consent managers, cross-data transfer provisions, and overlap with other sectoral legislation. The Centre’s decision to target data fiduciaries for data privacy is likewise viewed by many experts as a flawed strategy. Ashwini Vaishnaw, the union minister, previously stated that the DPDP regulations will be further improved to shield kids from the risks associated with the internet.

    Deleting Personal Data of Inactive Users

    According to the new regulations, companies have three years to remove the personal information of inactive users from their sites. Data fiduciaries must notify the Data Protection Board within 72 hours of any data breach. When a data breach occurs, data fiduciaries operating in India will also have to notify each user in “a concise, clear, and plain manner and without delay, through her user account or any mode of communication” that the user has provided.

    The nature, scope, timing, and location of the data breach; its effects on the user; the steps being taken to mitigate the risk; and the contact details of the person the user can contact with any questions about the data breach are all included in these details. When an organisation experiences a breach, it must notify the board of the specifics, including the type and scope of the breach, the individuals or incidents that caused it, the corrective actions being taken, and a report on the information provided to the platform users affected by the breach.

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  • MeitY Requests Ideas for Developing India’s Own AI Foundation Paradigm

    Abhishek Singh, additional secretary, Union Ministry of Electronics and Information Technology (MeitY), stated during his visit to GIFT City in Gujarat on 27 January that India is seeking proposals for developing its own foundational model in order to compete with foreign AI foundational models that serve as the basis for numerous applications such as ChatGPT and Gemini. He added that how India creates a basic model has been a major problem.

    At the moment, every core model that a nation uses, including ChatGPT, Llama 3, Gemini, and Claude, is foreign. China has now developed Deepseek and other models as well. To create an Indian foundational model, India must invest and offer financial assistance. The foreign fundamental models can provide incorrect or unsuitable answers because they were trained on western data sets and are not adapted to Indian languages and contexts.

    Speaking at the opening of the event, where Chief Minister Bhupendra Patel was also in attendance, Singh went on to say that the government is putting out a call for proposals to create a foundational model in India so that India can compete with the best in the world. Singh continued without revealing a deadline for the submissions, saying, “I am confident that some of the start-ups and innovators present today will be joining this challenge to build an Indian foundational model.”

    Foundational Model and Risks of AI

    One kind of artificial intelligence model that can handle a variety of jobs is the foundational model. These models can be used in a wide range of applications because they are developed by training on large and varied datasets. While AI has a lot of potential, Singh also believed that there are a lot of risks associated with it. The nation has witnessed how deepfakes and false information operate, as well as how incorrect AI reactions can lead to issues.

    To do this, the government is developing instruments for creating AI that is ethical, responsible, safe, and trustworthy. Tools for identifying algorithmic biases, false information in AI, and deepfakes are being developed by researchers and organisations. CoEs and any start-ups developing it will also have access to these technologies. Prime Minister Narendra Modi will visit Paris from February 10–11, when France and India will co-host the AI Action Summit, Singh said, adding that India was engaging “globally in the development of AI governance guidelines.”

    India to Set up 18000 Graphic Processing Units

    According to the additional secretary, India’s IndiaAI Mission aims to establish 18,000 Graphic Processing Units (GPUs) in order to create a high-end, scalable AI computing ecosystem that will assist researchers, academicians, students, and start-ups. In comparison to other nations, India has relatively few GPUs.

    In order to achieve its goal of setting up 10,000 GPUs, the government has held bids under the AI Mission and collaborated with the industry. It is aiming for 18,000 GPUs at very competitive prices, and it has opened the financial bids last week. Additionally, all researchers and startups will have access to these GPUs at a further discounted price. This will also help the start-ups operating in the CoE, Singh continued.

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  • Financial Services Secretary: Fintechs Must Be Innovative While Adhering To Standards

    On January 7, Nagaraju Maddirala, secretary of the Department of Financial Services (DFS), urged fintech companies to “consistently” provide creative solutions to the financial services sector while “strictly” adhering to rules. He said this while presiding over a conference in New Delhi with cofounders and senior executives from significant fintech companies. Kunal Shah, the founder of CRED; Bipin Preet Singh of MobiKwik; Sharath Bulusu of Google Pay; and officials from BillDesk, Infibeam Avenues, and Razorpay were among those present at the meeting. The gathering was also attended by industry organisations like the Digital Lenders Association of India, the Payments Council of India, and the Startup Policy Forum. According to a statement, “the goal of the engagement with partners from the startup and fintech ecosystem was to promote an open exchange of ideas aimed at elevating the fintech sector to a global standard.”

    Sharing his views on the suggestion, Rajjat Gulati, Co-Founder, plutos ONE stated, “Fintechs use technology to deliver services to their customers cheaper, faster, and better than before or to offer innovative new solutions. With technology comes the potential to deliver these solutions and their positive impact at never-before-seen scales. At the same time, technology also means that any missteps or vulnerabilities can be multiplied many times over. An attacker now has access to not thousands, but millions of customer records if they are able to access your systems. Millions could be defrauded of billions because somewhere in the stack of technological services that come together to deliver a simple money transfer solution is a bug or vulnerability or a piece of malicious code.”

    Digital Payment Systems Required Deeper Penetration

    Maddirala praised the Indian fintech industry’s explosive expansion over the last ten years and emphasised the necessity of enhancing digital payment systems in rural and northeastern areas, especially with UPI. He also urged the stakeholders to support micro, small, and medium-sized businesses (MSMEs) through “lending based on digital footprints.” According to the official announcement, Maddirala outlined the several steps the Centre has made to foster an atmosphere that is supportive of the fintech industry. Officials from the Reserve Bank of India (RBI), the National Payments Corporation of India (NPCI), the Financial Intelligence Unit (FIU), and the Ministry of Electronics and IT (MeitY) also attended the conference.

    2024 Not a Promising Year for Fintech Startups

    The gathering takes place while the domestic fintech sector continues to suffer from a lack of capital. Indian fintech firms raised $2.5 billion in 2024, a 19% decrease from $3.1 billion the year before, despite being the most funded industry last year. The fintech ecosystem had a drop in funding for the third year in a row in 2024. Nonetheless, the number of deals in the industry increased by 23% from 2023 to 2024, from 132 to 162. Last year, the fintech industry also achieved a $30 billion funding milestone (from 2014 to 2024) and welcomed two new unicorns to its portfolio: Moneyview and Perfios. Finova Capital, Drip Capital, and M2P were notable for securing some of the largest agreements in 2024, with each deal exceeding $100 million.

    India’s Fintech Ecosystem Still Leading the Global Race

    In spite of this downturn, the Indian fintech ecosystem is one of the top three globally financed fintech ecosystems in H1 2024, after the US and the UK. According to Tracxn’s Geo Semi Annual Fintech India Report for H1 2024, the ongoing funding winter and a number of other geopolitical challenges are to blame for the funding fall. Compared to one in H2 2023, two funding rounds totalling more than $100 million were observed during that time. These include the $120 million Series C funding round raised by lending platform Avanse and the $144 million Series D funding round raised by non-banking lender Credit Saison.

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