<p>Finance Minister Nirmala Sitharaman on Tuesday nudged the fintech industry to break the distance barrier and have more engagements with the government and its agencies to enhance trust.</p>.<p>Sitharaman was replying to a question by Kris Gopalakrishnan, Chairman, Global Fintech Fest (GFF) 2022 Advisory Board, who wanted to know how to ensure trust among industry, regulators, and the government.</p>.<p>"I don't want to sound cliche, but distance brings distrust. So, cut the distance down, have greater engagement with the government," the minister said.</p>.<p><strong>Also Read: <a href="https://www.deccanherald.com/business/business-news/fintech-industry-needs-to-work-relentlessly-on-safety-to-uphold-peoples-trust-pm-modi-1146712.html" target="_blank">Fintech industry needs to work relentlessly on safety to uphold people's trust: PM Modi</a></strong></p>.<p>Sitharaman further said everyone in the government, whether the prime minister, ministers or think-tank Niti Aayog, is constantly available for engagement, discussions, and exchange of ideas.</p>.<p>"So greater the engagement, greater the trust, which gets built up. So I think one sure shot way of retaining and building on trust is to keep the constant engagement going," she said.</p>.<p>To a question related to the role of the central bank and the finance ministry on the proposed digital currency, Sitharaman said the Reserve Bank will come out with the RBI-driven digital currency.</p>.<p>On February 1, she had announced in her Budget speech that Digital Rupee or Central Bank Digital Currency (CBDC) would be issued by the RBI in current financial year.</p>.<p>In her address at GFF 2022, the minister said the RBI's regulatory sandbox mechanism has provided a structured and institutionalised framework through which fintech companies are able to test their new products, new innovations before scaling them.</p>.<p>"So this has actually helped in testing it in a controlled environment and post that you're able to scale up rapidly so that markets can get the benefit and you can accelerate your product innovations," she said.</p>.<p>The minister further said there are opportunities for fintech players to play the role in a sustainable financial environment, and take advantage of the specific opportunities in green finance -- a financial arrangement for specific use of funds for environmentally sustainable development products.</p>
<p>Finance Minister Nirmala Sitharaman on Tuesday nudged the fintech industry to break the distance barrier and have more engagements with the government and its agencies to enhance trust.</p>.<p>Sitharaman was replying to a question by Kris Gopalakrishnan, Chairman, Global Fintech Fest (GFF) 2022 Advisory Board, who wanted to know how to ensure trust among industry, regulators, and the government.</p>.<p>"I don't want to sound cliche, but distance brings distrust. So, cut the distance down, have greater engagement with the government," the minister said.</p>.<p><strong>Also Read: <a href="https://www.deccanherald.com/business/business-news/fintech-industry-needs-to-work-relentlessly-on-safety-to-uphold-peoples-trust-pm-modi-1146712.html" target="_blank">Fintech industry needs to work relentlessly on safety to uphold people's trust: PM Modi</a></strong></p>.<p>Sitharaman further said everyone in the government, whether the prime minister, ministers or think-tank Niti Aayog, is constantly available for engagement, discussions, and exchange of ideas.</p>.<p>"So greater the engagement, greater the trust, which gets built up. So I think one sure shot way of retaining and building on trust is to keep the constant engagement going," she said.</p>.<p>To a question related to the role of the central bank and the finance ministry on the proposed digital currency, Sitharaman said the Reserve Bank will come out with the RBI-driven digital currency.</p>.<p>On February 1, she had announced in her Budget speech that Digital Rupee or Central Bank Digital Currency (CBDC) would be issued by the RBI in current financial year.</p>.<p>In her address at GFF 2022, the minister said the RBI's regulatory sandbox mechanism has provided a structured and institutionalised framework through which fintech companies are able to test their new products, new innovations before scaling them.</p>.<p>"So this has actually helped in testing it in a controlled environment and post that you're able to scale up rapidly so that markets can get the benefit and you can accelerate your product innovations," she said.</p>.<p>The minister further said there are opportunities for fintech players to play the role in a sustainable financial environment, and take advantage of the specific opportunities in green finance -- a financial arrangement for specific use of funds for environmentally sustainable development products.</p>