Maharashtra is the first state in the country that has unveiled financial technology policy
Maharashtra Chief Minister Devendra Fadnavis, who is promoting State as one of the favourite destinations for investment, has proposed amendment to Maharashtra Regional Town Planning (MRTP) Act, 1964, to establish Smart Fin Tech Centres in Nagpur as well as in other mega cities of the State.
Maharashtra is the first state in the country that has unveiled a financial technology policy, aiming to establish a Global Fintech Hub. Fadnavis is planning to make the State one of the top five Fintech Centres in the world in the next five years.
The Government has proposed amendment in Development Control Regulations (DCR) for Nagpur, Navi Mumbai, Thane, Kalyan-Dombivali, Vasai-Virar, Pune, Pimpri Chinchwad, Nashik, and Aurangabad.
The Government has amended the sub-section (1AA) of the section 37 and invited suggestions and objections from the stake-holders.
As per amendment, the commissioner may permit additional Floor Space Index (FSI) upto 200 percent and above in the basic permissible FSI to Smart Fin Tech Centre located in residential, industrial and commercial zones by charging premium of 30 percent of ready reckoner rates. The additional FSI will be permissible only on plots having an access road of minimum 18 meters width. However, the total maximum permissible FSI shall not exceed limit of 3.
The proposed amendment stated that at least 85 per cent of the total proposed built-up area, will be having permission to use for business of Fin Tech, like start-ups, incubators and accelerators, banking and financial services and IT, while remaining 15 per cent can be used for commercial purposes. The premium will be shared 50:50 between planning authority and government. The 50 percent share will be deposited in the Fin Tech Corpus fund, set up by the Director of Information and Technology. It may be recalled that State Cabinet had approved the policy to facilitate establishment of 300 start-ups in this sector in the next three years and a venture capital fund of Rs 200 crore for Fintech start-ups.
A Fintech start-up with a turnover of at least Rs 25 crore will be entitled to annual assistance of Rs 10 lakh for three years as reimbursement of internet and electricity expenses, goods and services tax, and expenses for participating in global exhibitions or similar events. The government would also provide assistance to establish Fintech accelerators and incubators.