Regulatory - NewNerve

The RBI’s Regulatory Sandbox: Fostering Innovation in India’s FinTech Landscape, 2024

15May

By AnkitNo Comments

BFSI, Fintech, Goverment Notice/Circulars, Regtech

The RBI’s Regulatory Sandbox: Fostering Innovation in India’s FinTech Landscape, 2024

The Reserve Bank of India (RBI) has established itself as a leader in fostering innovation in the country's rapidly evolving FinTech landscape. In August 2019, the RBI launched its Regulatory Sandbox (RS), becoming one of the few countries with such an ecosystem. This initiative provides a controlled environment for eligible entities to live test their innovative products and services, enabling regulated and orderly growth of the FinTech sector in India. The RS operates through thematic cohorts, focusing on specific areas of innovation. Past cohorts have addressed themes such as retail payments, cross-border payments, MSME lending, and prevention of financial fraud. To ensure continuous innovation, the RS also accepts "On Tap" applications for closed themes, currently open for the first...

Collaborative Efforts Between Fintech Companies and Regulators in India

4May

By Ankit1 Comment

BFSI, Blog, Fintech

Collaborative Efforts Between Fintech Companies and Regulators in India

The Indian Fintech sector has witnessed several collaborative efforts between Fintech companies and regulators, fostering innovation and responsible growth. Let's explore some notable examples: 1. Regulatory Sandbox: The RBI's regulatory sandbox initiative has been instrumental in facilitating collaboration between Fintech companies and regulators. It allows companies to test innovative solutions in a controlled environment, receiving feedback and guidance from the RBI. This has helped refine products and services before wider adoption. 2. Industry Associations: Fintech associations like the Fintech Association for Consumer Empowerment (FACE) and the Payment Council of India (PCI) play a crucial role in bridging the gap between companies and regulators. They provide a platfor...

Building Trust and Confidence: The Regulatory Ecosystem of Lending in India

24Apr

By Ankit1 Comment

Lending, BFSI, Blog, Digital Lending, Goverment Notice/Circulars, NBFC, Regtech

Building Trust and Confidence: The Regulatory Ecosystem of Lending in India

Lending plays a crucial role in India's financial landscape, providing individuals and businesses with access to capital for various purposes. To ensure the stability, transparency, and fairness of lending practices, the lending space in India operates within a robust regulatory ecosystem governed by multiple authorities and regulations. In this article, we will delve into the key components of the regulatory framework for lending in India, shedding light on the various entities and regulations that shape the lending landscape. Reserve Bank of India (RBI): At the heart of India's lending regulatory framework stands the Reserve Bank of India (RBI). As the central banking institution, the RBI plays a pivotal role in regulating the lending sector. It formulates and implements policies a...

RBI Imposes Penalty on The Uttarakhand Grameen Bank for Regulatory Non-Compliance

9Apr

By AnkitNo Comments

Banking, Finance, NBFC

RBI Imposes Penalty on The Uttarakhand Grameen Bank for Regulatory Non-Compliance

Dehradoon. The Reserve Bank of India (RBI) has recently wielded its regulatory authority by imposing a monetary penalty of ₹5.00 lakh on The Uttarakhand Grameen Bank located in Dehradun. The penalty comes as a result of the bank's failure to adhere to the provisions outlined in the Banking Regulation Act, 1949. This move by the RBI underscores the importance of regulatory compliance within the banking sector. The penalty, issued on March 27, 2024, stems from the bank's contravention of section 26A(2) in conjunction with section 51 of the BR Act. The statutory inspection of the bank, conducted by the National Bank for Agriculture and Rural Development (NABARD), highlighted non-compliance with statutory provisions, prompting the RBI to initiate necessary action. During the inspection, ...