Global financial technology firm Revolut is setting its sights on India's massive cross-border payments market, aiming to replicate its international success by offering smoother and more affordable transactions for Indians traveling or studying abroad. The company's India CEO, Paroma Chatterjee, outlined this strategy at a recent industry event in Mumbai.
Addressing a Burgeoning Need
Chatterjee emphasized that India is becoming increasingly global, with consumer demand in key sectors like travel and education seeing significant growth. Over the last year, Revolut has built an integrated platform to handle both domestic and international transactions for the Indian market. The firm entered India just over two months ago, leveraging a prepaid payments instrument licence from the Reserve Bank of India (RBI) and a foreign exchange permit.
The opportunity is substantial. Chatterjee pointed out that nearly 1.5 million Indian students went abroad to study last year, almost double the previous year's figure. These students need to pay tuition fees, rent, and other living expenses overseas. Similarly, about 40 million Indians travel internationally annually, spending roughly $40 billion, with an estimated $400 million lost in cross-currency markups and charges.
Revolut's Three-Pronged Solution for India
The company is focusing on three core areas to win over Indian customers: affordability, speed, and transparency. Currently, sending money abroad can take three to four days. Revolut aims to reduce this time significantly. Furthermore, the lack of clarity on final recipient amounts and hidden charges is a major pain point the fintech wants to solve.
To facilitate these services, Revolut India has already integrated with key local systems. The company has established partnerships with both the Unified Payments Interface (UPI) and Visa to create a seamless payment infrastructure. This allows users to manage and move money efficiently across borders.
Beyond Travel and Education: Niche Segments in Focus
While education and travel are primary segments, Revolut is also targeting other growing sub-segments. Chatterjee highlighted the rise of medical tourism, where Indians seek specialized treatments overseas, and the booming market of freelancers, content creators, and influencers who receive payments from international clients. These professionals need reliable and cost-effective ways to get paid in foreign currency.
The addressable market is enormous. India is the world's largest recipient of inbound remittances, receiving about $129 billion last year—more than double that of Mexico. Chatterjee stated that making these fund flows more affordable is a key focus for Revolut's Indian operations.
A Global Vision with India at Its Core
India represents a crucial part of Revolut's global growth strategy. The company has designated India as its largest talent hub, with over 3,500 employees following an initial investment of $45 million. Its ambitious goal is to sign up 20 million customers in India by 2030, primarily targeting the "aspirational youth" demographic.
Globally, Revolut faces competition from players like Wise for international transfers. In the domestic Indian digital payments space, giants like PhonePe and Paytm are established leaders, while newer entrants like Skydo cater to freelancers and small businesses.
Looking ahead, Chatterjee called for greater international cooperation to simplify multi-currency payments. She advocated for regulators and governments to collaborate on creating a "passport-equivalent for a global financial identity" and common standards for financial systems. "If these two align, borderless finance can truly be made possible," she concluded, underscoring Revolut's long-term vision for a seamlessly connected global financial ecosystem.
