RBI Plans to Create Fintech Repository, Announces Community Cloud & More

RBI Plans to Create Fintech Repository, Announces Community Cloud

The RBI is betting big on accumulating all the latest technologies that the fintech sector has to offer. India's Apex bank has decided to create a community cloud that would store information about fintech-related activities, products, and financial information. This fintech repository will be monitored by the Reserve Bank Innovation Hub by April 2024.  

The Cloud facility, meanwhile, will be established and under the oversight of the Indian Financial Technology and Allied Services (IFTAS), a wholly owned subsidiary of the RBI.  

The aim of this repository is to help smaller cooperative banks and entities to become more efficient and in-tune with the overall community.  

Digital Loans Grew by 43 Percent Between July and September this Year: Details

The Fintech Association for Consumer Empowerment (FACE), which is an industry body of digital lenders, has said that digital loans are becoming a real thing in the Indian financial arena. Between July and September this year, the member companies of FACE disbursed loans worth 2.4 crore loans.

This marked a 39 percent increase from the second quarter of this year, between April and June.  

The total assets under management (AUM) for fintech lending companies reached Rs 36,169 crore, with 69 percent on-balance sheet. This marked a rise of 79 percent for firms with their own non-banking financial company (NBFC).  

M2P Fintch Startup Acquires Behavioural Intelligence Firm Goals101: Details

M2P Fintch, a fintech startup based in India has acquired Goals101, a firm specializing in transaction behavioural intelligence. This purchase was made for reportedly Rs. 250 crore. The aim is to improve M2P's data analytics offerings to its clients.

"This acquisition will act as a catalyst to bring in a high degree of personalisation in its digital banking products to its customers," M2P said in a statement.

Goals 101, which is a seven-year-old company, has parented a platform that provides insights into consumer transaction patterns and orchestrates actionable. To do so, the platform runs on advanced algorithms and analytics tools.  

Infibeam Avenues Acquires 49 Percent Equity Stake in Pirimid Fintech

Fintech firm Infibeam Avenues has acquired a 49 per cent equity stake with an investment of Rs 25 crore in Ahmedabad-based Pirimid Fintech. The aim is to bring together Infibeam's digital payments and AI-based frameworks with Pirimid Fintech's capital market trading software.  

These AI-based systems will be used to help company clients streamline their trading, research, and investment processes.

“Leveraging the expertise and technological foundation provided by Infibeam Avenues, Pirimid Fintech is poised to develop innovative digital lending solutions to streamline the lending process, offering faster and more efficient credit disbursement, enhanced customer experience, and improved risk management through advanced data analytics and AI algorithms,” Infibeam Avenues said in a statement.

Indian Fintech Sector May See Slump Amid Crypto Rules Delay, Fear Web3 Players

India is still at least a year-and-a-half away from deploying comprehensive set of crypto laws. While India is accessing risks linked to crypto, officials also believe that 2024 is the year of elections around the world that could slow down the deployment process that could slow down the growth of India's fintech sector.

“The most concerning outcome of a delayed implementation of a comprehensive regulatory framework for crypto is the potential flight of resources, funding, and skilled talent – key strengths for a developing nation like India,” Cashaa CEO Kumar Gaurav said while noting that this sentiment extends to venture capitalists who seek returns on their investments and await regulatory clarity before further funding in this sector.

Meanwhile, industry players have urged their fellow companies to adhere to the current directions issued by the government in order to gain sovereign's trust on the crypto sector.