Job opportunities to rise by 7.5 pc in Indian fintech industry: Report

Bengaluru (The Uttam Hindu): Job opportunities are expected to rise by 7.5 per cent in the Indian fintech industry, spurred by the widespread embrace of digital payments, blockchain innovations and the growth of open banking systems, according to a report on Thursday.

While the banking industry has seen a 7.3 per cent net rise in employment, fuelled by regulatory initiatives, non-banking financial companies (NBFCs) are also showing steady growth, with a 5.1 per cent net rise in employment, according to latest insights from TeamLease Staffing.

Continued job growth is anticipated throughout 2024, propelled by digital transformation, changing regulatory landscapes, and initiatives aimed at enhancing financial inclusion, the report noted.

“We’ve observed an important inflection point for workforce dynamics in India. Beyond the numbers, what stands out is the increasing interdependence of technological adoption and workforce efficiency,” said Krishnendu Chatterjee, VP and Business Head of TeamLease.

Industries are no longer just hiring to meet headcount goals but are strategically aligning workforce skills with evolving business models.

“For instance, the surge in cloud adoption, AI, and IoT integration is not just reshaping how businesses operate but also redefining the roles and skills needed. These trends suggest that workforce growth is becoming more qualitative, where productivity, innovation, and adaptability are as critical as expansion,” Chatterjee added.

Banks are prioritising recruitment in areas such as compliance, digital product management, and AI-enhanced fraud detection to facilitate a transition towards more digital-centric services while still upholding traditional banking practices.

Approximately 63 per cent of NBFCs anticipate further expansion as they adjust their strategies to comply with new regulatory standards and strengthen their digital lending offerings.

“In demand are positions such as credit risk analysts, digital lending managers, and compliance experts as NBFCs continue to strengthen their digital capabilities while expanding into underbanked regions,” said the report.

While showing a more modest growth of 2.0 per cent in net employment, the insurance sector remains focused on leveraging AI, big data analytics, and insurtech innovations for risk modeling, distribution strategies, and customer experience improvements.

Hiring is concentrated in roles such as actuarial experts, data scientists, and customer experience managers as the industry embraces new technologies to drive efficiency and market penetration, said the report.