trending Market Intelligence /marketintelligence/en/news-insights/trending/6RlwD43U1bZ2rvNL5HHtUg2 content esgSubNav
In This List

India to open fintech sandbox to companies with at least 2.5M-rupee net worth

Blog

Banking Essentials Newsletter: July Edition - Part 2

Blog

Anticipate the Unknown Go Beyond Fundamentals to Uncover Early Signs of Private Company Credit Deterioration

Blog

Taking Loss Given Default Estimation to the Next Level: An Aspiration for All Creditors, Not Just Banks

Blog

Anticipate the Unknown A Fundamentals Approach to Detect Early Signs of Private Company Credit Deterioration


India to open fintech sandbox to companies with at least 2.5M-rupee net worth

Companies and banks which are incorporated or licensed to operate in India with a net worth of at least 2.5 million rupees will be allowed to apply to the Reserve Bank of India to test their financial technology services in a regulatory sandbox.

The central bank said in its final framework for a regulatory sandbox for innovation in financial services, released Aug. 13, that it will consider applications from products that aim at improving financial inclusion, as well as from sectors such as payments, lending and digital know-your-customer.

However, financial technology on credit information and registry and crypto-related products will not be eligible for the sandbox, it added.

The testing period in the sandbox will likely be fewer than six months, the central bank said.

The central bank noted that applicants should state how their products fill in gaps in the current financial ecosystem, and how current regulations prevent their products from scaling up. Applicants will also be required to share the results of proof of concept and submit a mitigation plan for any significant risks arising from the proposed solution.

As of Aug. 13, US$1 was equivalent to 70.93 Indian rupees.