Platform developed in-house for credit cards and loans online With the government pushing for high-speed internet connections in semi-urban and rural regions, RupeeQ hopes to triple the portfolio of digital loan disbursements to Rs 300 crore by 2027.
Neeru Puri, Managing Director and Chief Financial Officer of RupeeQ, stated in an interview with PTI that "over the next five years, it is estimated that the total value of digital lending business in India will exceed $1 trillion." At RupeeQ, we aimed to triple our loan disbursement portfolio by 2027, having disbursed around Rs 100 crore in the fiscal year 2023–2024."
By 2025, there will be 900 million internet users in India, with 56% of new users coming from rural regions and 65% of new users being female. These figures are based on reports.
Puri believed that the firm will be able to achieve its objective because of the government's push for digitalization and the spread of high-speed internet, especially in semi-urban and rural regions.
According to Puri, the value of digital lending in India increased spectacularly from $270 billion in 2022 to an expected $350 billion by the end of the following year, with a noteworthy compound annual growth rate (CAGR) of 39.5%.
Consumers of financial services would have a 75% digital footprint in the current fiscal year (compared to a present 50%). Puri clarified that this is mostly because to the proliferation of cellphones and mobile internet.
According to a recent report from the Boston Consulting Group (BCG), there has been a lot of activity in loan distribution models over the past several years.
This sector is being turbocharged by a few key factors that are all working together.
First, the experiences provided by internet behemoths are drastically altering customer behavior. Second, there has been a notable surge in technical advancements, driven mostly by the growing ubiquity of cellphones and data. Thirdly, the digital lending sector is receiving more and more support from regulations, which is improving the regulatory environment.
Puri stated that in the upcoming years, "we shall witness a sharp rise in loan enquiries from rural areas as the digitisation will make it very simple for the rural population to get loans using e-KYC (electronic know-your-customer)". Puri cited the 890 million Indians living in rural areas who possess Aadhaar cards.
