At GFF 2025, the IDFC First Bank CEO highlights India’s $10 trillion potential and the coming wave of fintech transformation
At the Global FinTech Fest (GFF) 2025 in Mumbai, V. Vaidyanathan, Managing Director and CEO of IDFC First Bank, presented a bold vision of India’s financial future — one where digital innovation, hyper-personalisation, and artificial intelligence (AI) shape every interaction between banks and customers.
The session, moderated by Latha Venkatesh, Executive Editor at CNBC-TV18, explored how technology is redefining access to credit, financial inclusion, and the overall customer experience.
India’s $10 Trillion Trajectory
Projecting a decade ahead, Vaidyanathan estimated that India’s GDP could hit $10 trillion by 2035, with the nation’s credit market expanding to $6.5 trillion. He noted that discretionary spending may rise by $2.6 trillion over the next ten years, fundamentally changing how financial institutions engage consumers.
“Credit, deposits, and investments will remain at the heart of banking,” he said, “but the way they’re delivered will evolve entirely.”
From Branches to Personalisation
Demonstrating live features from the IDFC First Bank mobile app, Vaidyanathan showcased how AI and open banking frameworks are enabling customised financial journeys — from automating collection calls to offering a 360-degree financial dashboard covering savings, loans, investments, EPF, and even real estate.
“Customers can now view their complete financial world in one place — something unimaginable just a few years ago,” he remarked.
He further highlighted the integration of lifestyle and financial services, such as booking airline tickets or managing purchases directly within the app — signalling the convergence of banking and commerce.
Digital Transformation at Scale
Reflecting on IDFC First Bank’s transformation since 2018, Vaidyanathan credited digitalisation for the bank’s extraordinary deposit growth from ₹10,000 crore to ₹2 lakh crore in six years.
“Such scale is only possible with a digital backbone,” he said, outlining the bank’s modern tech infrastructure built on APIs, microservices, cloud, and DevSecOps.
On the relevance of physical branches, Vaidyanathan was firm: “The future is digital. Physical infrastructure can only take you so far.” He underscored how digital platforms empower financial inclusion by extending credit to gig workers, small entrepreneurs, and underserved segments such as green finance and sanitation projects.
AI and GenAI: Powering Precision
Discussing the rise of AI and generative AI, Vaidyanathan revealed that the bank currently operates over 100 AI/ML scorecards for areas like credit evaluation, fraud detection, and customer profiling.
“With GenAI, analysing a 100-page bank statement now takes seconds,” he noted. “It’s revolutionising both accuracy and productivity.”
Building a Native Digital Bank
Concluding his talk, Vaidyanathan described IDFC First Bank’s decision to build its digital platform natively rather than depend on third-party SaaS systems as a turning point.
“It was one of the toughest yet most rewarding choices,” he reflected. “Owning our tech stack gave us speed, agility, and control — traits essential for the next generation of truly digital-first banks.”
As India accelerates toward a $10 trillion economy, Vaidyanathan’s message was clear — the banks that embrace AI, personalisation, and digital-native innovation will define the next era of financial growth.
By: Arushi Agarwal
