Foundation for tech valley: Six fintech companies to launch development centers in Vizag

AP govt is bringing the CEOs of 50 top global financial services cos, including Franklin Templeton, Visa and HSBC

Six fintech companies including India's largest mobile commerce firm, PayTM are launching their development centers in Visakhapatnam on Saturday, marking Andhra Pradesh government's latest efforts at creating a 'Fintech Valley' in the port city.

In line with its ambitious plans, the government is bringing the CEOs of 50 top global financial services companies, including Franklin Templeton, Visa and HSBC to showcase the city at the launch of the new initiative. Fintech is one of the strategic focus areas of AP government and this strategy was becoming more and more relevant post demonetisation, according to the officials.

The initial group of six companies have located their development centres in Fintech Towers, which was readied by the IT department. It can house the facilities of up to 20 companies both small and big, according to J A Chowdary, IT advisor to chief minister N Chandrababu Naidu.

The government was in the process of acquiring additional office space at Vizag's famous Rishikonda as more companies are expected to start their operations in the city.

The other five companies that would announce the launch of development centres in Vizag are Neobric, GMS Global Solutions Private Limited, Transaction Analysts and Genesis Labs, according to the officials.

As the automation, robotics and cobotics (co-operative robotics) were bringing large-scale disruption in businesses and also threatening the jobs in IT sector up to the mid-level positions, AP government has decided to create an ecosystem for fintech and other emerging technologies this time around. These include digital banking, financial analytics, cyber security and blockchain technologies, according to Chowdary.

"These chosen areas are going to create yet another Y2K kind of opportunity for Indian entrepreneurs and engineers. That is the reason why we are planning to forge direct collaboration between the Fintech companies and the engineering colleges in AP to prepare the necessary human resources required in these cutting-edge fields," Chowdary told Business Standard.

On Saturday, AP government will also be signing MoUs with 20 industry and academic organisations, some from outside India, for the purpose of establishing the Labs and the centres of excellence in each of these technology areas at Fintech Towers.