NPCI's plan to acquire a stake in ONDC faces RBI hurdle, says report

Banking regulator flags conflict of interest concern

National Payments Corporation of India’s (NPCI’s) plan to acquire a stake in government-backed Open Network for Digital Commerce (ONDC) may be delayed. This is because the Reserve Bank of India (RBI) has raised concerns over a potential conflict of interest, people aware of the matter said.
 

NPCI had evinced interest in developing the payment and settlement architecture of the ONDC network and wanted to acquire around 10 per cent stake in the government-backed start-up.
 

The banking regulator has sought more time to study the proposal as it may result in conflict of interest.
 

“NPCI has run into a regulatory issue.