Prime Minister Narendra Modi on Tuesday said India’s fintech sector has made major progress, but its journey cannot stop with the success of digital payments. He called for greater focus on credit, savings, pensions, insurance and other financial services.
Addressing the Global Fintech Fest 2026 in Mumbai, Modi said India must now take its fintech systems and standards to the global stage while using new technologies to reach more people.
Modi said that Japanese credit rating agency had recently upgraded India’s sovereign rating to the A- category. He said the upgrade was significant as it came after nearly 30 years.
According to Modi, the rating upgrade reflects global confidence in India’s growth momentum, macroeconomic stability and structural reforms carried out over the past few years.
He said India’s reform journey would continue at an even faster pace.
Modi described India’s fintech journey as “remarkable” and said UPI has been one of its biggest drivers.
He noted that UPI completed 10 years on August 25. Recalling the early days of the digital payments system, Modi said the idea of having banking services at one’s fingertips had seemed impossible to many people.
He said millions of Indians who had remained outside the banking system for generations are now part of it and have become important drivers of inclusive growth.
Modi said UPI recorded more than 2,400 crore transactions in August alone. He added that more than 50 lakh UPI transactions could take place across the country in just 10 minutes.
He also referred to French President Emmanuel Macron’s earlier comment that UPI was not just a tax story but a “civilisational story”.
Modi said India should work towards connecting UPI with countries where it has large-scale trade and where many Indians live and work.
He pointed out that many Indians work abroad and send money back to their families in India. However, part of the money is lost to transaction costs.
UPI, he said, can help reduce these costs and ensure that money reaches Indian families faster.
He also said India now has the opportunity to create its own rules and standards and connect them with the rest of the world.
“Now we can create our own rules and standards and connect them with the world,” Modi said.
Modi said the next phase of fintech should not be limited to payments. It should also make credit and other financial services easier to access.
Giving an example, he spoke about a woman running a small shop who receives digital payments every day. Her income and expenses can give a clear picture of how her business is performing.
As the business grows, she may need money to buy goods or equipment. However, the amount she needs may be too small for traditional credit models to serve her efficiently.
Modi said fintech companies can analyse such businesses, understand their needs and create suitable credit models.
“We have shown speed and scale in payments. Now we have to help increase the share of non-payment transactions,” he said.
Modi said fintech can also help delivery workers and people running small businesses gain access to savings and pension products.
He said technology can similarly make insurance and other financial services easier to access.
These services, he added, should become as simple, seamless and accessible as making a payment through a QR code.
Modi said 2026 has opened new possibilities for the financial sector, with technologies such as agentic AI, tokenisation and quantum technology creating new opportunities.
The key challenge, he said, is to turn these technological possibilities into real-world impact.
He urged fintech companies to work together and set clear goals for the sector.
Modi suggested four key areas that the fintech industry should focus on.
First, he said India needs to make its cybersecurity “top-notch”.
Second, the fintech industry should have its own ethical data protection standards.
Third, he called for a strong fintech-regulator-industry innovation ecosystem.
Fourth, he proposed a fintech consumer protection index that can provide transparent ratings for companies.
If the sector works on these areas, Modi said, India’s fintech industry can become a gateway to countless possibilities.
Modi said India already has the experience and the ability to take its fintech success to the next level.
He said the sector’s progress so far has been built on scale, scope, secure systems, democratisation, technology and public trust.
Keeping these values in mind, he urged the fintech sector to focus on “next-generation innovation” and move quickly to turn new ideas into real impact.