Scaling smarter: How Indian banks can modernise their core for the digital future

By K R Venkatraman, VP & Head – Product Architecture, Infosys Finacle

India’s financial services sector is growing at an unprecedented pace. In July, UPI-based instant digital payments once again broke the record by crossing 19.4 billion transactions. eCommerce is growing rapidly towards a $200 billion market size by 2026. The Open Network for Digital Commerce (ONDC), Open Credit Enablement Network (OCEN) and Unified Lending Interface (ULI) are promising to revolutionise digital lending, particularly for rural and small business customers.

Even the Central Bank Digital Currency (CBDC) pilot, though still in pilot mode, is pushing the boundaries of how money is issued and used. These developments are not just urban-centric — they’re reaching rural areas and small businesses, creating new opportunities for financial inclusion. From a technological standpoint, how should banks deploy their resources for maximum scalability and optimal total cost of ownership (TCO).

As banking ...