India's new banking backbone: Inside RUGR's smart finance ecosystem
In a nation where economic resilience pulses not through skyscrapers but across mandis, small towns, and rural communities, financial inclusion is no longer a matter of policy , it's a matter of national urgency.
Amidst India's roaring fintech wave, one name is quietly engineering a foundational shift: RUGR. In a move that adds cultural weight and trust to its mission, RUGR has teamed up with
Hrithik Roshan
.
Far from the noise of urban innovation hubs, RUGR is building something far more consequential , a smart, modular, and scalable financial ecosystem tailored to the complex needs of India. RUGR is a financial operating system engineered to serve India's next billion users, working hand-in-hand with banks, NBFCs, cooperative structures, and grassroots networks.
Let's step inside this silent revolution that is redefining how India banks.
The philosophy: Building for India, not repackaging for it
RUGR departs from a cookie-cutter approach. It is not only 'inclusively designed' but also deeply embedded into the unique realities of India.
Every feature, interface, and product module is carefully thought about while considering the linguistic diversity of India, device constraints, and prevalent financial behaviour, creating a truly native fintech experience that speaks the language of the people it intends to serve.
Its goal is not just to simplify transactions but to formalise, organise, and empower the grassroots economy. It seeks not to replace India's vast banking infrastructure but to amplify its reach, deepen its impact, and digitise its delivery.
As Arangasamy KV articulates the broader vision of RUGR, He reinforces it with a focus on long-term transformation over fleeting disruption:
"RUGR isn't just solving a fintech problem—it's reshaping the very infrastructure that governs financial access in India. We're not chasing disruption; we're building foundations that last." – Arangasamy KV, Founder, RUGR
The engine: A layered, interconnected product ecosystem
RUGR's strength lies in its multi-pronged product stack, architected as interoperable modules that solve real, persistent problems in Bharat's financial fabric.
1. RUGR-Udaan: Vernacular digital payments for the last mile
RUGR-Udaan is a comprehensive suite of digital banking and payments for last-mile users. Outside of
UPI
, it focuses on enhanced net banking with secure payouts. It provides literally first interfaces, low data mode, and onboarding via QR code so anyone can transact easily in their own language, on feature phones, and in low-literacy circumstances.
2. AGRI-GRAM: Embedded finance for India's farmers
AGRI-GRAM delivers embedded, contextualised financial tools , from dynamic crop-linked credit scores and instant KYC-based agri-loans to seasonal payment scheduling and subsidy integration.
It doesn't just digitise agri-finance , it reimagines the agri-economic lifecycle as a digitally supported value chain.
3. FIN-GRAM: Vernacular financial literacy for first-time users
Bharat's fintech revolution will be incomplete without digital and financial literacy at scale. FIN-GRAM tackles this head-on through interactive, regional language-based micro-learning modules, covering topics like credit awareness, loan traps, digital safety, saving mechanisms, and UPI usage , integrated directly into the app experience.
It is not education as a service; it is literacy embedded into action.
4. TRANSFER-GRAM: Institutional disbursal made seamless
In India's welfare-driven and subsidy-heavy policy ecosystem, efficient fund disbursal remains a chronic pain point. TRANSFER-GRAM offers a robust, API-compatible layer that enables secure, audit-compliant disbursals for state agencies, NBFCs, rural cooperatives, and SHGs. Whether it's paying 5,000 MGNREGA workers or enabling rural MSME payrolls , TRANSFER-GRAM ensures every rupee reaches the right hands, quickly.
5. NEO-GRAM: The rural neobank without a branch
With smart KYC, e-wallet infrastructure, zero-balance accounts, and offline authentication features, NEO-GRAM functions as a branchless neobank for users with no credit history or documentation trail. Built with compliance and modularity at its core, it allows rural users to save, borrow, invest, and insure, without ever entering a bank branch.
6. BANK-GRAM: Empowering the ground-level agents of change
While many fintech platforms ignore human interfaces in low-trust environments, RUGR's BANK-GRAM is designed to enable them.
Sponsored by large banks, BANK-GRAM supports payment connectivity and infrastructure at the grassroots. BANK-GRAM supports the three roles: bc/credit facilitator, agent (aka BC/agent), and agent provider aid in real-time settlements, commissions and loan tracking. It enables last-mile agents to become embedded fintech enablers.
A genuine game changer for small banks and district societies.
Complementing, not competing: A layer above legacy
What differentiates RUGR is its cooperative design philosophy.
It doesn't attempt to replace banks, NBFCs, or cooperatives , instead, it amplifies their efficiency, scale, and precision. By providing digital rails, verification protocols, analytics dashboards, and embedded APIs, RUGR becomes an infrastructure layer for traditional institutions to modernise without reinvention.
Whether it's a regional NBFC extending agri-credit, or a cooperative society disbursing SHG loans, RUGR provides plug-and-play modules to digitise, verify, disburse, and collect , all within regulatory and compliance frameworks.
While the brand's strength lies in its technological ecosystem, the decision to appoint
Hrithik Roshan
as brand catalyst adds a layer of emotional resonance and cultural relatability. As a figure associated with resilience, reinvention, and discipline, his association helps bridge perception gaps in less-trusting rural pockets, ensuring first-time fintech users feel safe, seen, and empowered.
RUGR is not a payments app. It is India's first comprehensive financial grid for India, modular, vernacular, compliant, intelligent, and human-first.
With each transaction, each disbursal, each loan, and each learning module, RUGR is quietly scripting a new chapter in India's fintech evolution , one that is inclusive without compromise, expansive without dilution, and transformative without disruption.
Disclaimer - The above content is non-editorial, and TIL hereby disclaims any and all warranties, expressed or implied, relating to it, and does not guarantee, vouch for or necessarily endorse any of the content.
Stay informed with the latest
business
news, updates on
bank holidays
and
public holidays
.
AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)
Business Standard
22 minutes ago
- Business Standard
Indian firms file ECB intent worth $2.73 bn in May under automatic route
Indian companies, including non-banking financial companies (NBFCs), filed proposals in May 2025 with the Reserve Bank of India (RBI) to raise $2.73 billion through External Commercial Borrowings (ECBs). The intent for fund-raising was entirely through the automatic route, with no proposal filed under the approval route, according to RBI data. Among the prominent firms that filed intent with the RBI in May 2025 was Reliance Industries Ltd (RIL), which sought to raise about $635 million to refinance earlier ECBs. Adani Ports and Special Economic Zone Ltd submitted an application for $150 million for overseas investment in a joint venture or wholly owned subsidiary. Adani Airport Holdings Ltd plans to raise $250 million for refinancing earlier ECBs. Asian Paints (Polymers) Private Ltd filed an application for ECBs worth $145 million for investment in a new project. Bharat Mumbai Container Terminals Private Ltd submitted intent for about $177 million for infrastructure development. Among financial services firms, Tata Capital Housing Finance Ltd filed to raise $100 million to refinance old ECBs. Another financial services company, Avanse Financial Services Ltd, is looking to raise $100 million from a commercial bank for on-lending activities.
Time of India
9 hours ago
- Time of India
Prospects of banking in India
Dr Rao is currently teaching risk management in the institute of Insurance and Risk Management (IIRM). A career banker with Bank of Baroda, he held the position of General Manager - Strategic Planning, Later was Associate Professor with National Institute of Bank Management (NIBM) and was Director, National Institute of Banking Studies and Corporate Management (NIBSCOM). He writes for financial dailies on Banking and Finance and his work can be viewed in the public academic accomplishments include Ph.d in commerce from Banaras Hindu University (BHU), MBA ( Finance), LLB. He runs a Youtube channel - Bank on Me - Knowledge series He likes to share his perspectives with next generation potential leaders of the banking industry. His book on "Transformation of Public Sector Banks in India' was published in september 2019. His most interesting work is in blog. LESS ... MORE The recently published annual report of RBI – FY25, the Monetary Policy of RBI – June 6, 2025, and the Financial Stability Report (FSR) – June 2025, all unanimously observed that the economy is strong, resilient, and remains one of the fastest-growing large economies. The IMF states that the Indian economy will continue this trend in 2025 and 2026. RBI's forecast for GDP growth in FY26 is 6.5 per cent, potentially reaching 6.7 per cent in FY27, providing a solid foundation for rapid growth across various sectors. If the Indian economy is to reach a GDP of US $30 trillion by 2047 and become a developed economy, it must grow at an average of 8-9 per cent annually. To accomplish this, it will need strong support from both banks and non-banks to lend sufficiently to entrepreneurs and stimulate growth. The coordinated efforts of banks and non-banks in lending to enterprises will be vital to unlock the full potential of the economy. The assets in the financial services sector need to grow twenty times larger than they are now. By March 2025, the total value of assets in the financial industry is expected to range between Rs 730 trillion and Rs. 760 trillion. Banks primarily drive India's economy. Out of the estimated average total assets of Rs760 trillion in the financial sector, banks make up 55 percent, with Rs 415 trillion in assets. The Reserve Bank of India (RBI) accounts for 10 percent, with Rs 76 trillion in assets. Insurers hold a 15 percent share with assets valued at Rs. 115 trillion, while all other NBFCs, including fintechs, have around Rs159 trillion in assets. The financial system could grow 20 times, so banks should adopt innovative technology tools to support sustainable growth, employment, education, and healthcare, which are essential. However, success will depend on strong banking systems with coordinated partnerships with NBFCs, including fintech innovation, and the integration of the informal economy. Due to a limited asset base, only two Indian banks currently rank among the top 100 international banks. The State Bank of India (SBI), in 43rd place, and HDFC Bank, in 73rd place, are included in the top 100 global banks by assets, according to S&P Global Market Intelligence's April 2025 ranking. India, despite being the fourth-largest economy, has only two banks on this list. This was pointed out in several forums and highlighted in the economic survey, emphasizing the need to increase the asset base of banks. This underscores the need to expand its asset base and enhance credit risk appetite. While Indian banks have sufficient capital adequacy, their credit-to-GDP ratio remains low at only 62 per cent. In comparison, China's credit-to-GDP ratio is 161 per cent, Japan's is 314 percent, the US's is 210 per cent, the UK's is 145 per cent, and South Africa's is 133 percent. Indian banks should increase their credit risk appetite to align with the credit-to-GDP ratios of their global peers. More lending/deposit schemes aligned to the changing demographic profile are needed to compete actively with alternative market players. 1. Gearing up for higher growth: In the coming years, to grow the banking system's assets, an additional Rs 4 trillion in new capital will be needed. The IPO market is thriving. In 2024, equity markets raised IPOs totaling Rs1 lakh crore. Retail investors now hold over 170 million demat accounts. There is a growing focus on insurance penetration and resilience, including popular schemes like Ayushman Bharat and fintech-driven microinsurance. In the area of technology adoption, banks can further develop cloud computing and AI, which includes machine learning, blockchain, and data analytics. Fintech convergence introduces cyber risks—adopting a zero-trust security model, AI-based fraud detection, regular drills of Business Continuity policy (BCP), and compliance with RBI, IRDAI, and SEBI are essential. Jan Dhan, Aadhaar, and Mobile (JAM) trinity greatly expanded banking access. Different types of banks – Small Finance Banks, Payment Banks, and NBFCs – also partnered heavily in financial inclusion efforts, with fintech playing an active role. The benefits of widespread financial inclusion and digital adoption should support the MSME sector, which makes up about 30% of GDP, but only 40% of these businesses are officially banked; increasing that to 80% could be transformative. It's observed that NBFCs provide 23 per cent of MSME credit and leverage technology and local networks to serve underserved segments. RBI establishes a regulator-led, tiered oversight system to support them. The government encourages NBFCs to increase their share of credit to MSMEs from the current levels to 50 per cent. Banks and NBFCs must collaborate to enhance lending quality to the MSME sector through better credit risk management and technological advancement. Post-NPA reforms—such as IBC 2016, the formation of IBBI, activation of NCLTs, and the creation of NARCL (Bad Bank), reforms of ARCs—have improved banks' asset quality. In an AI-driven, constantly changing work environment, as many industries adopt 'AI Virtual Assistants', the threat of skill redundancy looms. Even autonomous AI super agents are entering the industry to perform independent teamwork. Reshaping skills and strategic skill-building will be necessary. Individual employees in banks must focus on their innate talents and develop appropriate skills to stay relevant in the industry. Therefore, the financial sector needs talent in various areas such as strategy, leadership, market intelligence, and the ability to understand macroeconomic and geopolitical trends. New skills required include AI, cloud computing, cybersecurity, risk management, accounting and audit, digital onboarding, and compliance. Collaboration among banks, fintechs, academia, and NISM can foster continuous learning and innovation hubs. 2. State of the Banking system: FSR June 2025 indicated that banks maintain strong capital buffers (CRAR around 17.2–18.0%) and have multi-decade lows in NPAs (2.3%), positioning them to withstand adverse shocks. Even under stress scenarios—such as a global slowdown or banks' worst debt outcomes—capital levels remain well above the 11.5 % regulatory minimum. Banks have sufficient resilience to support growth and absorb shocks. However, some concerns exist for banks, as the cost of credit might increase, impacting the pricing of loan products. Following the Covid-19 pandemic, household debt has risen to 42% of GDP. Growing unsecured retail lending (credit cards, personal loans) needs close oversight. It will be essential to overhaul and significantly improve the underwriting standards of credit to ensure sustainable growth with faster processing times and appropriate risk-adjusted pricing. A gradual and balanced lending approach, risk adjusted well calibrated sectoral exposure to credit, targeting quality over quantity, could make a whole lot of difference to sustained credit quality. FSR also highlights vulnerabilities related to the rapid adoption of digital lending channels, cybersecurity, and vendor risks. RBI's broader framework including goals like sandboxing, UPI interoperability, digital rupee (CBDC), and AI in risk management—suggests future growth in digital finance. A digitally empowered banking ecosystem, supported by stronger technology governance. Banks' internal macroeconomic intelligence system must be upgraded to detect the impact of heightened geopolitical tensions and trade uncertainties, which could pose hidden risks to bond markets and capital flows. Substantial foreign exchange reserves, surpassing US $700 billion, and resilient domestic demand help cushion external shocks. Banks will maintain vigilance and will be working on strategies for liquidity and capital aligned with global volatility. Facebook Twitter Linkedin Email Disclaimer Views expressed above are the author's own.
Time of India
13 hours ago
- Time of India
Don't peg your expectations from market too high; look for growth stories: Shreyas Devalkar
Shreyas Devalkar , Head-Equity, Axis MF , says the market currently favors established narratives, making them costly. Opportunities arise in sectors experiencing growth, such as manufacturing and import substitution . The government's Make in India initiative is boosting domestic production. Tourism and retail are also performing well. Private sector banks and NBFCs show potential for revival with lower interest rates. What is your take on the Indian markets because the Street is a bit divided? Some believe that a lot of these positives are already factored in and the valuations are expensive. But some also have the view that a lot of these positives are still to be factored in with respect to RBI rate cut, the tax cut, and India-US trade as well wherein India is expected to be in a sweet spot. Where is the market headed from these levels? Shreyas Devalkar: As far as the market is concerned, wherever there is an established story, it is always expensive. There are pockets where the stories are really established. You spoke of three aspects, the US tariff on India, the credit and the interest rate part and earnings. When it comes to the US tariff part, we have to see how it evolves, especially as it is not only about India versus US, but also India versus China, and other competing countries where they also have a comparative advantage. In such a situation, we need to wait and watch not only the tariff on India, but also on all these countries so that the end game is established. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like An engineer reveals: One simple trick to get internet without a subscription Techno Mag Learn More Undo The way it looks, as of now, the market has tried to factor in certain gains in some aspects. So when it comes to established stories like electronics, manufacturing, services, there is a shift from China to India. The second part is the Make in India theme where we are trying to build in India and trying to reduce import dependence. It can be in solar, and is actually in multiple parts and sub-parts of even consumer durables. The government has taken multiple steps in that. Another part that is growing very well is manufacturing. Such stories are emerging very nicely and there the valuations definitely remain high. So, these stories are in capital goods, power sector, capex, and EMS, and here we are driving import substitution. On the other hand, in consumption, they are in tourism, travel and retail. Some of the retail stories are doing extremely well. These are the segments which continue to do well and where the valuations are high. We need to bear with it. As long as the growth delivery remains, the valuation may sustain. There are pockets where valuations are not that high and there is expectation of revival and that is one of the aspects which you highlighted on the credit and the lower interest rate. Live Events You Might Also Like: Q1 earnings trend so far does not point to big growth recovery this quarter: Ashi Anand There, the private sector banks' valuation has not got re-rated compared to pre-Covid days. In some cases, there is a de-rating also. Overall, NBFC valuation is broadly similar to pre-Covid days' barring a few cases here and there because of the slowdown in credit growth as well as deposit growth. Obviously these are the reasons why it has happened. Now, with lower interest rates and better transmission, one may see some revival there. But would you be comfortable putting fresh money to work at this level right now? Shreyas Devalkar: As a long only investor, we end up investing. So, even if you do not end up putting in fresh money, whatever you own is as of yesterday's price. That is the way we look at it. So, from the point of view of the investors, the market has gone up substantially. Over a longer period of time, the market has given returns closer to nominal GDP growth and one should set right expectations from the returns from the equity market rather than expecting too high returns which has been the case in '22, '23 and '24 because there is a substantial re-rating in the stories. So, from that re-rating, a very high return is difficult to expect and on the other hand there are certain segments where we need to see some revival in growth to get a good return. Otherwise, the right return expectation is important here. In your latest fact sheet, you have mentioned that while our overall macros look good, we are not completely out of the woods yet. In light of the recent CPI numbers which have been much better than what the Street was expecting, overall macros in terms of liquidity are looking good. Where are you still expecting to see some more momentum in order to say that a broad-based recovery in macros is seen? Shreyas Devalkar: As far as overall growth for the economy is concerned, if you take the last two decades, it was on the back of three things. One was monetary policy and that is in favour. As of now, we are seeing interest rates coming down. We are seeing that getting transmitted also by various banks and NBFC. So, its impact will be seen. You Might Also Like: Aditya Khemka on US tariff threat over pharma and what to bet on there The other aspect has been seen at multiple points in time in multiple countries – fiscal expansion. Now, there is fiscal consolidation. So not only India, most other countries are trying to do it. But fiscal consolidation has a certain impact on growth. More importantly, the third aspect is the export growth because for a large part of listed companies, especially in largecaps, there is an element of export directly or indirectly and that is where whenever the global economy is doing very well, there is a positive impact on the Indian economy. So, out of these three factors of growth, monetary policy is definitely in favour, interest rates because of the inflation coming down will also drive better growth for us. But because of the fiscal as well as the global growth not being there, the overall recovery in growth may not be as expected. So one should look at it in a more pragmatic manner as far as growth is concerned. Help us understand what sort of portfolio changes have you made of late because in your fact sheet, I believe you have reduced your weightage in autos while adding a bit more into consumers. How do you manage this positioning right now? Also, any sectors you will closely watch for increasing weightage? Shreyas Devalkar: Wherever there is growth and wherever there is earnings cut, these are the two aspects one ends up trying to predict. So, both auto and auto ancillaries have seen earnings cut both because of the global and local environment. That is where over five-six months, we have reduced our exposure. You Might Also Like: Nischal Maheshwari on 2 sectors where we may see rays of hope in market At the same time, despite high valuations, some of the capital goods companies, especially in the power space, have done better on the growth front. So, it is not broad-based capex as such, but definitely there are certain segments of that, segments of electronic manufacturing, import substitution, and all these in the overall capital goods space. There are multiple companies here and in that context, we have increased some exposure to that segment. As far as consumption is concerned, exposure to some retail companies was increased over the last five-six months as it is reflected in the fact sheet.
