The Economic Times, a leading print and online news agency in India, published findings from a recent MicroSave report on the state of fintech in India, which was created with support from J. P. Morgan. The report quotes the MicroSave findings that fintech companies successfully cater to only 23 percent of the elite or affluent section of the Indian economy while a huge portion remains untapped.
The 600 million-strong population in India that belongs to the lower middle income (LMI) group still remains untapped. The LMI segment earns between $2 to $10 per day. Of the 600 million LMI population, 347 million have the potential to pay for fintech services, as these users are urban, smart, independent, and Internet-savvy.
The article refers to the MicroSave study and says that currently, most fintechs serve the affluent, tech-literate customers in tier-I geographies, leaving over 80 percent of the addressable LMI group untapped.