SEPTEMBER 201719BFSI contributes to 11.1 percent of total IT spend in India which includes virtual debit cards, mobile banking, internet and E-Insurance accountsChallenges being Faced by BFSI· Roll out of banking sector in rural areas.· Adoption of technology and subsequent upgrade to reduce risk.· Customer Awareness.· Inadequate reach of funds/distributors to retail investors.· Limited innovation in product offering· Multiple Regulatory Frameworks.BFSI industry spans to all geographies and segments like lending, asset management, property, casualty, life & annuities. BFSI includes all services markets such as contact center, finance & accounting, human resources, applications testing and others.Achievements of BFSI:· People can apply for public issues through stock exchange.· Loans available for home, personal and commercial purpose via internet and mobile banking.· Access to banking made available via Internet, mobile, and SMS.· Providing solutions to warehouses.· Simplifying banking procedures and deploying solu-tions that convert data into intelligence.Indian banking industry is growing exponentially since 2010 ­ Bank credit grew at 15.9 per cent, while total deposits growth was at 14.3 per cent. Considering the po-tential and growth rate this sector is expected to become the fifth largest by 2020 and third largest by 2025. The Indian banking sector consists of approximately 26 public sector banks, 20 private sector banks and 43 foreign banks along with 61 regional rural banks (RRBs) and more than 90,000 credit cooperatives.Indian financial market started around the end of the 18th century and comprised of FDIs, alternative invest-ment options, the pension sectors, asset management seg-ment and merging economies. During the second half of 19th century- capital market developed around Mumbai with approximately 250 brokers.BFSI contributes to 11.1 percent of total IT spend in India which includes virtual debit cards, mobile banking, internet and E-Insurance accounts. BFSI has opened opportunities for fresh graduates who are ready to accept challenging projects. Expansions in BFSI are creating new job opportunities for talented people in different streams. Considering global expansion and client require-ments, the role of BFSI has become more crucial. As per requirements customized products and applications have been developed for customers for achieving their finan-cial goals. Technology has transformed the way BFSI sector used to operate 10 years ago. Now BFSI servic-es are available on multiple platforms - online, mobile, social media. Competitive world, Strick regulatory guidelines, evolvement in technology and security threat has made life in BFSI very challenging. These challenges have been addressed to a greater extend by outsourcing. Outsourc-ing has helped in acquisition, increasing profitability and consistent customer services. BFSI Careers are Preferred in India ­· This being a large sector ­ job opportunities are higher in number.· Due to vast operations ­ growth is faster and people can change multiple roles and providing quality life, attrac-tive salaries, incentives and rewards.· In due course after sufficient experience Entrepreneurial opportunities are also available.· Global presence provides learning and innovation.BFSI industry is expected to grow at a rate of 15 ­ 20 percent with Indian insurance sector as the fifth larg-est in Asia having an annual growth of approximately 30 percent. Approximately 70 percent of the population is without insurance plans related to health and other things thus pro-viding a greater growth potential for Insurance Industry.With the evolvement of technology we need to inno-vate, grow, digitize and secure the BFSI sector to serve our communities both at the country and global level.
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