Big Tech firms offering Financial Services pose risk to Stability

Current Context: Big tech companies offering financial services pose a risk to financial stability due to undisturbed operational linkages as per the RBI report.

• Due to increased disintermediation, Big tech can scale up rapidly and pose risk to financial stability.
• As per 25th Financial Stability Report (FSR) of RBI, it requires more engagement of stakeholders such as regulators, the FinTech industry, and academia to work towards common principles for the management of FinTech activities.
• The global FinTech market size was valued at USD 111 billion in 2020 and is projected to reach USD 698 billion by 2030.
• Besides, FinTech can promote financial inclusion, broaden the offering of financial products and services, and increase efficiency for the delivery of financial services.
• If we talk about the Indian FinTech industry it is among the fastest-growing in the world and is projected to reach USD 150 billion by 2025.

Question:

Q.1 As per the 25th Financial Stability Report (FSR) of RBI, the global market of the FinTech Industry will reach ________ billion in 2030?
a. 500 billion
b. 698 billion
c. 722 billion
d. 526 billion