Mastercard is planning to invest $ 1 billion
in the coming five years focused at converting India into a vital node in the
company’s infrastructure
India: Mastercard, a global leader in payment
technology, announced intentions to set up its first data processing center in
accordance with the government’s data localization policy. The center which will
cost around $ 350 million is expected to be functional in the next 18 months
and offer employment opportunities to over 1,000 people. The investment is
expected to foster innovation and increase Mastercard’s speed-to-market
capabilities and value-added services.
Co-president, Asia Pacific at
Mastercard stated that, “There is a very large presence that Mastercard has
built, and now, after having seen the last five years, we are very bullish on
the overall Indian economy and what the future looks like, and clearly very
excited about the digital payments ecosystem and payments ecosystem in general.”
The company considers growth
in the digital payment in India as a lucrative opportunity and plans to set up its
first service hub outside the US. Earlier also, the payment technology major
invested $ 1 billion in India over the last five years, resulting in several
acquisitions and improvements in technology development capabilities.
Mastercard invested in Razorpay in 2016, to push the adoption of online and
mobile payments among small businesses in India.
According to TechSci
Research, the investment by Mastercard to develop global tech node in the
country will allow the company to enhance its footprints in the fintech market.
Low cost of internet and launch of services like UPI and NCPI and initiatives
taken by the Indian government are fueling the growth of fintech market in the
country. Moreover, the country is already a leading fintech hub in Asia and is attractive
large investments. Rising number of leading global players such as Google and
Amazon in the country’s fintech space is also positively influencing the growth
of fintech market in India.
According to the published
report by TechSci Research, “Global
AI in Fintech Market By Component (Solution (Software
Tools and Platform) and Services (Managed and Professional)), By Deployment
Mode (Cloud and On-premise), By Application, By Region, Competition, Forecast
& Opportunities, 2024”,
the global AI in Fintech market is anticipated to grow at a double-digit CAGR
during the forecast period, on account of technological advancements and
surging penetration of internet. Fintech or financial technology is the name
given to the new technological innovations that aim to compete with traditional
financial methods in delivery of financial services. Artificial intelligence
(AI) is transforming the finance industry. Since, AI helps to improve the
efficiency and reduce the chances of error, the application of AI in Fintech is
increasing at a rapid pace.
According to another recently
published report by TechSci Research, “Global
Real Time Payment Market, By Type
(24*7*365 and Bank Operating hours), By Certification (ISO Certified and
Non-ISO Certified), By End User (Technology Providers), By Company and By
Geography, Forecast & Opportunities, 2014-2024”, the global Real Time Payment market is
expected to witness robust CAGR during 2014 - 2024. Countries such as Australia,
China, India, US, Canada, etc., are already quite active in the real time
payment space, and an increasing number of countries are planning or are moving
towards instant payment approach. Instead of lining up at a bank or nearby
payment offices, customers can make payments from anyplace sitting anywhere in
the world. Moreover, increasing number of cyber-attacks and data breaches, bank
liquidity management, increasing government initiatives, growing number of
smartphones, and growing demand from merchant side, globally, is expected to boost
the demand for real time payments over the next five years as well. Key players
operating in the market include ACI WorldWide, NEC, CapGemini among others.