Regulatory Sandbox: Third Cohort on ‘MSME Lending’ – Exit

Summary:

The Reserve Bank of India (RBI) has announced the results of the Third Cohort of the Regulatory Sandbox (RS) on 'MSME Lending' theme. Five entities, namely FinAGG Technologies, Mynd Solutions, Rupifi Technology, Small Industries Development Bank of India, and SysArc Infomatix, have been found viable and can be considered for adoption by Regulated Entities subject to compliance with applicable regulatory requirements. These entities had tested their products, which focused on providing digital credit underwriting processes, invoice-based financing, and working capital support to MSMEs. The products have been evaluated based on mutually agreed test scenarios and expected outcomes. The RS has now exited the Third Cohort on 'MSME Lending' and is open for 'On Tap' applications from other entities.