Lytus intends to invest $50 million in the fintech business

Nasdaq-listed Lytus Technologies Holdings, a leading global technology-driven services firm, plans to invest $50 million to grow its fintech business in India over the next five years. The organisation has entered the FinTech space in the country with its introduction of fresh payment service offerings to businesses in the Indian cable and broadband sectors. Lytus seeks to meet the changing needs of Indian consumers and businesses with its strategic growth plans, which include the ambition to offer a variety of AI-driven financial services and customized solutions.

Lytus Technologies CFO Shreyas Shah said, "Lytus's unique business model is particularly suited to expand its fintech services offering to its nationwide base of nearly 4 million users. The company intends to invest $50 million to expand its fintech business in India over the next five years. While the initial rollout is focused on a B2B model, it plans to extend services to its individual subscribers within the next 12 months."

He added that Lytus' fintech products will initially be available to customers in metro cities, and the company will also focus on offering its fintech services to businesses and individuals in rural parts of India to bridge the gap that currently exists in the traditional banking sector. Lytus Fintech CEO Huzaefa Lokhandwala added, "Over the course of the next several months, Lytus intends to expand the scope of its fintech services to include AI-driven next-generation payment platforms, P2P lending, blockchain, insurtech, digital shareholder services, and cross-border payments, among other services. Lytus also plans to offer its subscribers e-wallet and credit card services using AI-based technology for personalized financial insights. Users will be able to set spending goals based on their priorities, earn rewards, and leverage the features to develop good financial habits and achieve their long-term goals."

The Indian Fintech market is currently the second-largest market in the world by deal volume. It is expected to grow to USD 2.1 trillion by 2030 at a CAGR of more than 18%. With a fintech adoption rate of 87% against the global average of 64%, India is one of the fastest-growing fintech markets in the world. The Indian fintech industry has experienced exponential growth over the past few years, supported by the Indian government's initiatives to promote the digitization of financial systems and a cashless economy. This effort has successfully shifted consumer focus toward digital alternatives for financial transactions and services.

The rise of digital commerce, along with innovations in payment technology using AI, blockchain, the Internet of Things (IoT), and the introduction of mobile point-of-sale (POS) devices, has significantly contributed to the tremendous success of the fintech industry in India. As India's fintech landscape continues to thrive, Lytus Technologies' commitment to bridging the digital divide between urban and rural areas and providing cutting-edge fintech solutions is set to contribute significantly to the country's vibrant financial ecosystem.