Mihika Mukherjee, BML Munjal University
ABSTRACT
In the past few years, FinTech or Financial Technology has grown tremendously. With new and new innovations coming up, this sector requires to be regulated by way of policies and frameworks. FinTech laws are a field of their own and under this is a concept called ‘Regulatory Sandbox’. These sandboxes are a live testing environment where innovations can be developed and tested. Various countries have adopted the framework, including India. This paper shows how regulatory sandboxes spur innovation much like Intellectual Property and Competition Laws in India. It illustrates the point that laws regulating the Indian FinTech Industry spur innovations and is making India the leading country in this industry. The upcoming fintech market has economic implications too as it makes financial services readily accessible to all and sandboxes are said to hold immense economic promise.
This paper looks into how the fintech sector has been flourishing in India with an insight into Indian regulations and how India has adopted the regulatory sandbox framework. The paper will analyse the role of the Reserve Bank of India and two other government authorities and its various regulations.
Keywords: Regulatory sandbox, FinTech, innovations, financial services
