Gen Z Leveraging Fintech to Fuel Aspirations, 2025 to Have Increased Demand for Capital: Report Borrowing patterns last year are also poised to influence habits in 2025, with Gen Z increasingly using lending solutions such as mPokket, Slice, and the like.

India's Gen Z is actively shaping their future, prioritizing financial independence, personal growth, and smart financial decisions, said a recent report released by fintech company mPokket.

Borrowing patterns last year are also poised to influence habits in 2025, with Gen Z increasingly using lending solutions such as mPokket, Slice, and the like. mPokket's report said that students use lending platforms for life aspects such as career advancement, business growth, and life requirements & experiences. Looking ahead, the company projects 2025 to be a year of enhanced financial planning, skill development, and credit utilization for self-reliance.

Gaurav Jalan, Founder and CEO, mPokket, said that Gen Z isn't just reacting to financial challenges—they're proactively shaping their financial future and their 2024 borrowing habits demonstrate a strategic approach to credit, not just a need.

"From skill investment and business ventures to managing responsibilities, they're proving financial independence is about control, confidence, and purpose. In 2025, this generation will continue redefining smart borrowing for a fulfilling and fearless life," said Jalan.

According to the report, financial security is no longer about aspirations, and 24 per cent of Gen Z borrowed for emergencies related to health in 2024, with 88 per cent of the expenses going toward medicines and treatment.

The trend projects an increased trust and usage of fintech for medical expenses and treatment, with access to quick and reliable financial support remaining crucial to ensure timely medical care and relief.

According to mPokket, India's young workforce is prioritizing professional growth and skill enhancement. In 2024 alone, 57 per cent of borrowers below the age of 30 used loans to upskill through short-term courses, digital certifications, or technical training. The trend signals a shift towards learning to secure long-term financial stability.

Looking ahead to 2025, the report anticipates greater financial literacy among young borrowers with a rise in demand for borrowing options with flexible repayment.

In 2024, 25 per cent of young professionals borrowed to fund their business ideas, with 59 per cent of the loans directed toward expansion and 27 per cent toward marketing. 2025 is poised to see a surge in independent work and small business financing, as this generation prioritizes financial autonomy over traditional employment.

The report also expects an increased demand for working capital among young entrepreneurs with more and more professionals using credit to fund their freelancing and independent careers.