With the world facing Covid-19 pandemic, the need to meet consumers' expectations in the banking sector and bring a rapid solution raise the odds for the Fintech industry to evolve in most countries.
Thanks to the overhaul of regulations in Türkiye, the digitalization of financial products and services allowed customers to handle remotely, and/or online, many of the transactions and processes. QR code technology, equity and debt-based crowdfunding, and IBAN application for e-money institutions come ahead of the services offered.
According to “The State of Fintech Ecosystem in Türkiye" report, compiled by the Presidency of the Republic of Turkey Finance Office in partnership with Startups.watch, Türkiye registers 70.3 million active retail digital banking users. In 2021, 1.7 million POS terminals, 52 thousand ATMs, 82.8 million credit cards, and 54.4 million prepaid cards were used, while contactless payment rate reached the level of 48 percent, and USD 48 million Fintech exits were recorded through 520 companies.
Digital-only banking, Banking as a Service (BaaS) regulation and the tests on Central Bank Digital Currency (CBDC) are expected to bring a new dimension to the financial technologies industry and diversify the business models in the Fintech ecosystem, the report unveiled.
In this perspective, Istanbul Finance Center (IFC) will also be focused on developing these means through a regulatory sandbox. Preparation of a National Fintech Strategy Document, an overarching action plan for the Fintech ecosystem between 2022 and 2025, is already underway and aims to be a roadmap for the industry.
For access to the report, click at "State of Fintech Ecosystem in Türkiye".