The Centre for Excellence (CoE) for FinTech (financial technology) will be inaugurated soon at the Software Technology Parks of India (STPI) here, said a top official on Friday. "The CoE-FinTech will be inaugurated soon, before the end of this fiscal. There will be a seating capacity of 201. To start with, there will be eight FinTech start-ups. The CoE will be on 20,000 sq.ft," Sanjay Tyagi, Director, STPI-Chennai, told IANS here. According to him, the FinTech CoE involves an outlay of Rs 24 crore. The number of start-ups will gradually go up to 58 units in five years' time, he added.
The Ministry of Electronics & Information Technology (MeitY) had announced to set up a CoE for FinTech at STPI-Chennai, in association with the Electronics Corporation of Tamil Nadu (ELCOT), the government of Tamil Nadu. Arun Jain, Chairman and Managing Director of Intellect Design Arena Ltd, has been entrusted with the responsibility of the Chief Mentor of the FinTech CoE. Intellect Design Arena is a financial technology company offering core banking and other software solutions for banks and others.
The objective of the CoE is to help start-ups have access to facility, technology, mentorship and support to help them kickstart their business in the area of FinTech. According to Tyagi, Intellect Design Arena will offer its core banking solution and other financial software solutions to CoE free of cost on which the start-ups can test their products. "We will be taking about five per cent equity stake in the start-ups and would exit a couple of years later," Tyagi added.
He said the CoE-FinTech would identify start-ups having the potential to create disruptive products, provide business and organisational support in the start-up phase and select start-ups based on the defined set of criteria to enter the agreement. "Globally, Intellect has set a benchmark for FinTech products and services from India. The creation of the FinTech start-up ecosystem as a Centre of Excellence comes at the right time. We are excited to support the start-up community and the potential it can create," Jain, Chief Mentor and CMD, Intellect Design Arena, said.
(With inputs from agencies.)