Fintech Startups To Watch: 5 Indian Fintech Startups That Caught Our Eye In March
by Lokesh Choudhary · Inc42SUMMARY
- Backed by UPI-led scale, rising credit adoption, and over $32 Bn in funding, India’s fintech ecosystem is expanding rapidly, with strong momentum in both private and public markets
- Lending-focused startups are attracting a growing share of funding and are expected to dominate fintech revenues by 2030, even as large gaps in financial penetration remain
- Against this backdrop, Inc42 is launching “5 Fintech Startups To Watch” to spotlight emerging startups building across India’s fintech ecosystem
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India processed over 228 Bn UPI transactions in 2025, with a total value nearing ₹300 Lakh Cr, surpassing the combined digital transaction volumes of several major global economies. According to the PIB, UPI alone now accounts for nearly half of all non-cash transactions worldwide.
This scale was unthinkable a decade ago.
Thanks to the UPI, India’s fintech ecosystem has expanded rapidly over the past 10 years. It has now become the third-largest globally by unicorn count, with more than 850 funded startups and 26 unicorns. The sector has attracted over $32 Bn in funding since 2014.
The momentum is also spilling into the public markets. Around 10 fintech companies are already listed on Indian stock exchanges, while another 12 are preparing to go public.
A large chunk of startups in the space are working on solutions centred around credit. Credit card adoption in the country has doubled from 55 Mn to 114 Mn between 2019 and 2025, while debit card usage is stagnating, especially in the ecommerce space.
This behavioural shift is being mirrored in the funding landscape, where lending tech accounted for 37% of fintech funding between 2021 and 2025, up from 27% between 2015 and 2020.
By 2030, lending is expected to contribute over 53% of total fintech revenue, translating to roughly $133 Bn within a projected $250 Bn market.
However, despite this, the country remains significantly underpenetrated across key financial services. Household debt stands at just 41% of GDP, far below developed markets, while credit card penetration is still under 8%.
For instance, US household debt stands at 69% of its GDP, while China’s stands at 60.4%.
This gap represents one of the largest structural opportunities for fintechs, especially in expanding access to credit, insurance, and wealth products for underserved segments.
Having kept a hawk’s eye on India’s startup ecosystem for over a decade now, we, at Inc42, realised that there is an innate need to shed light on budding startups that are breaking ground in India’s fintech arena.
Therefore, we are introducing the first edition of Inc42’s “5 Fintech Startups To Watch”, shedding light on the innovations taking place in one of the country’s most celebrated new-age sectors.
For our maiden edition, we are spotlighting startups building products in the areas of wealthtech, lending, and digital payments. With that said, let’s drive right into Inc42’s first edition of 5 Fintech Startups To Watch.
Editor’s Note: This list is not a ranking. It is a curated selection of fintech startups that have stood out to the Inc42 editorial team this month.
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