Why Bengaluru Has Long Been the Anchor for Fintech Talent
For many years, Bengaluru has been the go-to destination for India’s fintech and tech talent. It boasts a deep pool of engineers, a mature startup ecosystem, countless global capability centres (GCCs) and leading fintech companies. A report by CBRE noted Bengaluru as one of the world’s top talent hubs in 2025, reflecting its dominance in tech workforce and innovation.
Fintechs found Bengaluru appealing for several reasons: proximity to major banks and tech accelerators, strong venture-capital presence, and a culture that blends finance and software engineering. As a result, many fintech unicorns and payment-tech startups set up shop in the city and built large engineering teams there. }
However, as fintech grows, new pressures are emerging — talent costs, infrastructure constraints, competition for candidates, and real-estate escalation. These are creating fresh incentives to look beyond the city.
Emerging Fintech Hubs: What’s Driving the Shift
Several factors are driving fintech talent and operations to diversify across India:
- Cost & Talent Availability: Real-estate, salaries and commute times in Bengaluru are rising. Emerging cities offer skilled graduates at lower cost and less attrition pressure.
- Policy Incentives & Infrastructure: State governments are now offering incentives, tech parks and dedicated fintech zones outside Bengaluru. For example, Gujarat’s GIFT City is a financial-services hub being built as a fintech gateway.
- Talent Distribution: Universities and engineering institutes in cities like Hyderabad, Pune, Chennai, Ahmedabad are producing large tech batches. Companies are tapping these pools rather than recruiting exclusively in Bengaluru.
- Operational Resilience & Time Zones: Geographic diversification also supports business continuity and capacity to serve global markets. Fintechs increasingly maintain engineering or operations centres in multiple cities to mitigate risks.
- Local Market Focus: Fintech companies aiming at regional markets (Tier 2/3) find benefits in nearby hubs that align better with local talent, languages and cost structure.
Case Studies: Hyderabad, Pune, Ahmedabad & Tier-2 Cities
Cities beyond Bengaluru are emerging fast as fintech hotspots. For instance, Hyderabad is increasingly known for its tech talent and favourable policies. Mumbai, Delhi-NCR, Ahmedabad and Jaipur are also being cited in reports as growing tech hubs.
In Pune, the tech-services ecosystem, local engineering colleges and lower cost-base make it a logical choice for fintech centres. Ahmedabad and the GIFT City project seek to become financial-tech hubs with regulatory special-zones and fintech-friendly policies.
Even Tier-2/3 cities are getting attention. With remote/hybrid working becoming the norm post-pandemic, fintechs are hiring distributed teams in cities such as Kochi, Indore, and Vizag, thereby widening their geographic talent footprint.
What It Means for Fintechs, Talent and India’s Digital Future
For fintech firms, the talent-shift beyond Bengaluru offers multiple advantages: access to fresh talent pools, lower cost structures, and regional connectivity. It also reflects India’s fintech ecosystem entering a more mature, distributed phase rather than being concentrated in a single geography.
For fintech professionals, this means more opportunities in cities beyond the traditional tech hubs. It also means companies may offer better work-life balance, more affordable living, and less competition for roles.
From a national-ecosystem perspective, this decentralisation strengthens resilience. Instead of one overloaded metro, India now builds multiple fintech nodes — supporting digital finance growth across states, enhancing inclusion and spreading economic benefits.
The future of India’s fintech talent is not anchored in one city — it’s dispersed, resilient and ready for the next wave of growth.
Frequently Asked Questions
1. Why was Bengaluru the main fintech hub in India?
Because of its large tech talent base, venture capital presence, global capability centres and proximity to banking/internet companies — all factors that benefited fintech growth.
2. Which Indian cities are emerging as fintech talent hubs beyond Bengaluru?
Hyderabad, Pune, Ahmedabad, Jaipur and some Tier-2/3 cities are gaining prominence by offering skilled graduates, lower costs and supportive policy environments.
3. What benefits do fintech companies get by moving talent hubs out of Bengaluru?
Lower salaries, cheaper real-estate, reduced attrition, access to fresh talent pools, and better regional coverage.
4. Does this shift affect talent competition and career opportunities?
Yes. Talent is less concentrated, giving more options to engineers and fintech professionals in multiple locations. It also improves work-life balance and reduces migration-pressure.
5. How will this geographic diversification impact India’s fintech industry long-term?
It will create a more balanced ecosystem, reduce regional bottlenecks, support inclusive growth and help India scale fintech innovation across multiple hubs.