visimoney
TLDR:
- The fintech sector has outlined its budget wish-list, including bringing all banks onto the account aggregator framework and treating unlisted equity at par with listed equity for long-term capital gains taxation.
- The sector is also calling for parity between digital and non-digital lenders to prevent predatory lending practices.
The fintech sector has outlined its wish-list for Budget 2024, calling for several key reforms and initiatives. One of the top priorities for the sector is to bring all banks onto the account aggregator framework, which would facilitate the sharing of financial information securely and efficiently. This would benefit both consumers and fintech companies by streamlining processes and improving access to financial services.
Another important request from the sector is to treat unlisted equity at par with listed equity for long-term capital gains taxation. Currently, investors in listed equity enjoy certain tax advantages compared to those investing in unlisted equity. Equal treatment would encourage investment in unlisted companies and promote the growth of startups and other innovative businesses.
The fintech sector is also calling for parity between digital and non-digital lenders. This request is triggered by the predatory practices of illegal digital lending apps and aims to ensure fair lending practices across the industry. By implementing regulations that apply to all lenders, regardless of their digital or non-digital nature, the sector hopes to protect consumers and promote responsible lending.
In addition to these key requests, the sector is also seeking support for digital infrastructure development, including the expansion of digital payment systems and the promotion of digital literacy among consumers. These initiatives would contribute to the growth and adoption of digital financial services in India.
The budget wish-list from the fintech sector comes at a time when the industry is experiencing significant growth and innovation. Fintech companies are reshaping the financial services landscape and providing new and innovative solutions to consumers.
Overall, the sector’s requests focus on improving access to financial services, promoting fair and responsible lending practices, and creating an enabling environment for fintech innovation. These reforms would not only benefit the fintech sector but also contribute to the overall development of India’s financial ecosystem.
