The Reserve Bank of India (RBI) on Monday said it will launch a pilot project on the public tech platform that seeks to facilitate credit through a seamless flow of required digital information to lenders.
The tech platform, which is being built by RBI’s wholly owned subsidiary Reserve Bank Innovation Hub, will commence from August 17, according to a release.
The end-to-end digital platform will have an open architecture, open application programming interfaces and standards, to which all financial sector players can connect in a ‘plug and play’ model. The platform will focus on products such as Kisan Credit Card loans of up to Rs 160,000 per borrower, dairy Loans, MSME loans without collateral, personal loans and home loans.
The platform will also enable linkage with services such as Aadhaar e-KYC and land records from onboarded state governments of Madhya Pradesh, Tamil Nadu, Karnataka, Uttar Pradesh, and Maharashtra. It will also share satellite data, conduct PAN card validation, transliteration, Aadhaar e-signing and account aggregation, among others.
“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. It shall bring about efficiency in the lending process in terms of reduction of costs, quicker disbursement, and scalability,” the RBI said, adding that based on the learning from the pilot, the scope and coverage would be expanded to include more products, information providers and lenders..