The Reserve Bank of India (RBI) on August 14, 2023, issued the notification regarding the Launch of the Pilot Project for a Public Tech Platform for Frictionless Credit.
The following has been stated namely: -
• The development of a Public Tech Platform for Frictionless Credit by Reserve Bank Innovation Hub (RBIH), a wholly owned subsidiary of RBI has been announced.
• The data required for credit appraisal for digital credit delivery are available with different entities like Central and State governments, account aggregators, banks, credit information companies, digital identity authorities, etc. However, they create a hindrance in the frictionless and timely delivery of rule-based lending as they are in separate systems.
• The Public Tech Platform would enable the delivery of frictionless credit by facilitating a seamless flow of required digital information to lenders. The Platform is intended to be rolled out as a pilot project in a calibrated fashion, both in terms of access to information providers and use cases
• The platform shall focus on the following during the pilot:
1. Kisan Credit Card loans up to ₹1.6 lakhs per borrower
2. Dairy Loans
3. MSME loans (without collateral)
4. Personal loans and Home loans through participating banks
• The platform shall enable linkage with services such as
1. Aadhaar e-KYC
2. land records from onboarded State Governments (Madhya Pradesh, Tamil Nadu, Karnataka, Uttar Pradesh, and Maharashtra)
3. Satellite data
4. PAN Validation
5. Transliteration
6. Aadhaar e-signing
7. Account aggregation by Account Aggregators (AAs)
8. Milk pouring data from select dairy co-operatives
9. House/property search data
The platform shall commence on August 17, 2023.
[Press Release: 2023-2024/750]
