The Pension Fund Regulatory and Development Authority (PFRDA) on October 12, 2022, issued a notification related to a Financial Stability and Development Council-Sub Committee has established an Inter-Regulatory Technical Group on FinTech (IRTG on FinTech) (FSDC-SC). The terms of reference of the IRTG on FinTech include discussion on issues relating to hybrid products and services that fall under the regulatory purview of various financial sector regulators for admission in Regulatory Sandbox and framing of Standard Operating Procedure (SOP) for IoRS for hybrid products and services. Along with representatives from the Financial Sector Regulators, the committee also includes members from the Department of Economic Affairs (DEA), Ministry of Finance, and Ministry of Electronics and Information Technology (MeITY), GoI.
A Standard Operating Procedure (SOP) for IoRS has been created by the Inter-Regulatory Technical Group on FinTech in order to facilitate the testing of novel products and services that fall under the regulatory purview of multiple financial sector regulators, including RBI, SEBI, IRDAI, IFSCA, and PFRDA (IRTG on FinTech).
An attachment contains the Common Application form (Inter-operable Regulatory Sandbox(IoRS) Application Form) attached to the document, for the IoRS. Entities that meet the minimal requirements for participation in the Principal Regulator's RS, may submit an application through email at [email protected] together with the necessary papers. The applicant must provide any additional information or documents that are requested as and when they are needed. According to their RS framework, the Principal Regulator and Associate Regulators reserve the ability to decide if a hybrid product, solution, or innovation is admissible.
