Open-source technologies have revolutionized the BFSI (Banking, Financial Services, and Insurance) industry in India, driving digital transformation and modernization across the sector. One key factor driving this transformation is the widespread adoption of Unified Payments Interface (UPI), a digital payment system developed by the National Payments Corporation of India (NPCI). UPI allows users to make secure and instant online payments directly from their bank accounts, without the need for credit or debit cards. Since its launch in 2016, UPI has seen explosive growth, with over 1.5 billion transactions worth over $40 billion being processed in September 2020 alone.

However, the adoption of open-source technologies goes beyond just facilitating digital transactions. Many banks in India are leveraging open-source solutions for data pipeline, observability, and API gateway in order to improve efficiency and agility, and stay competitive in an increasingly digital landscape.

Data pipeline refers to the systems and processes used to move data from one place to another. In the BFSI industry, data pipelines are critical for a wide range of tasks, such as providing an enhanced customer experience, triggering event-based promotions, and customer analytics. By using proven open-source technologies for data pipeline, banks can leverage the capabilities of these technologies to offer better experiences at lower costs in a reliable manner.

Observability, on the other hand, refers to the ability to monitor and understand the behavior of complex systems. In the BFSI industry, identifying the problem as and when they occur and being able to address them in timely manner is crucial for both business as well as regulatory purposes. By using open-source technologies for observability, banks can improve their ability to monitor and manage their systems and respond to issues in real-time.

And the primary way all the internal systems talk to each other as well to outside third-party applications, is through APIs. In the BFSI industry, API gateway is critical for enabling the integration of different systems and applications, and for ensuring the smooth and secure flow of data between them.

Ashnik, a leading provider of open source solutions in India, is helping banks in the country adopt these technologies. Through its comprehensive range of services, including consulting, implementation, and support, Ashnik is enabling banks to leverage the benefits of open source to drive innovation, reduce costs, and improve customer experiences.

In conclusion, the adoption of open-source technologies is playing a key role in the modernization of banks in India. By using open-source solutions for Data pipeline, Observability, and API gateway, banks can improve efficiency, reduce costs, and stay competitive in an increasingly digital world. As the BFSI industry continues to evolve and embrace new technologies, the importance of these solutions will only continue to grow.