Fintech: Fostering Digital Transactions and Data Privacy says FM Sitharaman

Data Privacy FM Sitharaman: India is the world's second-largest digital economy, with a growth rate of 18% in 2018. With one billion Indians expected to have access to banking services by 2020, it is imperative that user data privacy be taken into consideration when developing fintech solutions. The finance minister has highlighted the need for safeguarding data privacy while using fintech payment systems. The report launched at the event also emphasized on including women and their participation in fintech. While addressing the fintech industry, the finance minister said the value of digital transactions jumped to Rs. 65,000 crore in FY 2020 from Rs. 45,000 crore and Rs. 25,000 crore in 2019 and 2018 respectively FM Sitharaman said that data privacy should not be compromised while using new financial technology solutions such as blockchain or AI-based systems. "I am very impressed that today the UN principles for responsible digital payments are being launched. It is just the need of hour. We need ... all of us to understand that in our desire to bring in an interoperable system, a system which has to be pushed ahead because of the transparency virtues that it carries, we shouldn't be in a hurry to compromise on any one of these features," Sitharaman said. Data Privacy FM Sitharaman, She further said, "I think India is the prime destination for digital activities and also payments. And therefore we have to take extra care that this country's data privacy is not compromised or breached because of any technological intervention." "What I would like you all to work together (is) what are those principles which can be adopted by everybody," Sitharaman asked industry representatives during an interaction held after she unveiled a 'National Strategy For Financial Technology'. Fintech adoption rate in India stands at 87% as opposed to 64 percent globally. Read More: INDIA’S VACCINE PLATFORM COWIN IS NOW OPEN FOR ALL COUNTRIES: NIRMALA SITHARAMAN