Decentro, an API banking platform based in India, has raised 30 crore rupee (US$3.5 million) in a series B round led by InfoEdge Ventures.

Stargazer Growth and existing investors like Uncorrelated Ventures also participated.

The company plans to relocate its parent entity from Singapore to India in the next 12 to 18 months.

This move follows Decentro’s profitability and aligns with a trend of Indian fintech firms returning amid a stronger regulatory environment.

Decentro handles over 50,000 crore rupee (US$5.8 billion) in annual payment volumes across 1,300+ clients, including NBFCs, digital lenders, and banks.

It focuses on KYC and data intelligence, payment flow management, and AI-powered debt collection.

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🔗 Source: Decentro

🧠 Food for thought

1️⃣ India’s fintech infrastructure boom signals ecosystem maturity

Decentro’s funding and profitability highlight a significant shift in India’s fintech landscape toward infrastructure providers who power the ecosystem rather than consumer-facing apps.

The Indian fintech industry was valued at ₹584 billion in 2022 and is projected to reach ₹1.5 trillion by 2025, creating massive demand for underlying infrastructure services 1.

This infrastructure focus is paying off across the sector, with fintech deal activity jumping 64% quarter-on-quarter in Q1 2025 and funding rising to $531 million, a 59% increase from Q4 2024 2.

Decentro’s emphasis on KYC, payments, and collections infrastructure parallels successful models from the most-funded Indian fintechs like Paytm ($3.48B in funding) and PhonePe ($2.29B), which have evolved from single-service providers to comprehensive financial platforms 3.

The company’s profitability while scaling highlights a maturing fintech ecosystem where investors increasingly value sustainable unit economics over rapid growth at all costs.

2️⃣ The strategic “flip back” reflects India’s evolving regulatory landscape

Decentro’s decision to return its parent entity from Singapore to India represents a broader trend as India’s financial regulatory framework matures and stabilizes.

The RBI has established dedicated fintech departments and frameworks, including regulatory sandboxes and self-regulatory organizations, creating a more structured environment for fintech innovation 4.

This regulatory evolution has coincided with the rise of critical financial infrastructure like the Account Aggregator framework, which facilitates secure data sharing and enhances the capabilities of API-based banking platforms 1.

The government’s Payments Vision 2025, which aims for a threefold increase in digital payment transactions, provides further policy support for infrastructure-focused fintechs like Decentro 1.

For companies processing mission-critical financial flows, regulatory alignment has become increasingly valuable, as evidenced by the government’s initiatives to establish Gandhinagar as a fintech hub with dedicated infrastructure and regulatory support 1.

3️⃣ AI integration marks the next frontier for fintech infrastructure providers

Decentro’s launch of AI-powered products like Scanner and Neobot reflects a strategic pivot happening across India’s fintech landscape, where infrastructure providers are embedding AI capabilities.

The company’s focus on debt collections through AI voice agents directly addresses a ₹10+ lakh crore NPA challenge for the lending industry, demonstrating how AI can solve specific, high-value financial problems [article].

For financial institutions, these AI-empowered infrastructure solutions offer significant efficiency gains while maintaining regulatory compliance, explaining why enterprise customers are rapidly adopting such technologies.

The multilingual capabilities of Decentro’s AI tools are particularly significant in the Indian market, where language diversity has historically been a barrier to financial inclusion.

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