Tamil Nadu can find its own path and make a mark in the fintech space, said panellists speaking at a session at Tamil Nadu Unlimited, a one-day summit organised by The Hindu in association with Guidance Tamil Nadu, on Tuesday.
One of the key points of discussion at the session, titled ‘Fintech Sector in Tamil Nadu: Expanding the Fintech Ecosystem for Inclusive Well-rounded Growth’, was whether the State could catch up with other leading fintech destinations, such as Bengaluru.
“A good thing about Chennai is that everything is in a balance. Bengaluru is the tech capital. Mumbai is the finance capital. Chennai has a mix of both professionals,” said Prabhu Rangarajan, Co-Founder, M2P Fintech.
Tamil Nadu has a prefect blend of professionals across chartered accountants, financial specialists, and people with technology background. “We are already a leader in software as a service (SAAS) and have the potential to become fintech capital. One of the key measures is to stop the brain drain. Forget about talent moving to the United States, it is important to retain talent from moving to cities such as Bengaluru,” Mr. Rangarajan said.
N. Kamakodi, Managing Director (MD) and Chief Executive Officer (CEO) of City Union Bank (CUB), said Bengaluru became a tech hub due to availability of risk capital, and big global banks had their operations in Chennai. “The ecosystem is developing, and I am confident that Tamil Nadu will find its own path in developing the fintech ecosystem,” he added.
Mr. Kamakodi also spoke about how the banking sector had transformed with the advent of things like automatic teller Machines, internet and mobile banking, and digital payments and how even aspects such credit assessment was being carried out using technology.
Mahesh Ramachandran, Founder, Commonwealth Inclusive Growth Services Limited, said the Government of India’s Fintech Centre of Excellence was in Chennai, and added, “If we can add the tech aspect to finance, the State can emerge victorious.”
Mr. Ramachandran said the business correspondence model (agents with devices) had enabled financial inclusion and had made banking possible in areas with unbanked people. Kunal Shankar, Deputy Business Editor, The Hindu, moderated the session.
