Review of Financial Information Provider (FIP) under the Account Aggregator Framework Introduction In this article, we will review the concept of the Financial Information Provider (FIP) under the Account Aggregator (AA) framework. We will discuss the definition of FIP as outlined in the Master Direction – Non-Banking Financial Company – Account Aggregator (Reserve Bank) Directions, 2016. Additionally, we will explore the role of the Central Recordkeeping Agency (CRA) in the National Pension System (NPS) and […]

Banking Regulation (Amendment) Act 2020 – Change in Name of Co-operative Banks Introduction The Banking Regulation (Amendment) Act (No. 39 of 2020) has made Sections 49B and 49C of the Banking Regulation Act, 1949 (BR Act) applicable to Co-operative Banks. These sections impose certain requirements and approvals from the Reserve Bank for any change in name or alteration of bye-laws of a Co-operative Bank. Change in Name of Co-operative Banks To change the name of […]

RBI Interests in Technology and its Impact on the World Order: T Rabi Sankar The Reserve Bank of India (RBI) has clearly shown in recent times a great deal of interest and enthusiasm for the transformative potential of technology across various fields, including the financial system. T Rabi Sankar, the deputy governor of the central bank, highlighted the immense impact of fintech on the global financial industry, speaking at the grand finale of the second […]

RBI Extends PCA Framework to Government-Owned NBFCs from October 2024 The Reserve Bank of India (RBI) has recently announced its decision to extend the Prompt Corrective Action (PCA) framework to government-owned Non-Banking Financial Companies (NBFCs), excluding those in the Base Layer. This significant extension will come into effect from October 1, 2024, based on the audited financial reports as of March 31, 2024, or later. Implications and Restrictions Following the inclusion of government-owned NBFCs in […]

The Significance of Banking License for Fintech Companies Unveiling the Benefits and Challenges of Acquiring a Banking License for Fintech Ventures Indian fintech unicorn Slice recently received regulatory approval to merge with North East Small Finance Bank, marking its transition into a full-fledged bank. Similarly, Resilient Innovations, the operating company behind fintech firm BharatPe, became a financial investor in Unity Small Finance Bank, as part of a central bank initiative to expand formal financing beyond […]