Don't exceed your licence brief: RBI governor Das tells fintech firms

The RBI's notification regarding PPIs had sent the entire fintech world, especially the buy now pay later (BNPL) industry, into a tizzy

Fintech and digital lending firms should engage in activities only that are permitted under the licence granted to them, Reserve Bank of India (RBI) Governor Shaktikanta Das said on Friday. Firms must obtain the banking regulator’s permission before venturing into territories for which they have no licence.

The RBI governor’s stern statement comes a month after the central bank issued a notification disallowing non-bank prepaid payment instruments (PPIs) from loading through credit lines.

Speaking at the Bank of Baroda’s Annual Banking Conclave, Das said: “Firms should operate under the licences granted to them. If they are doing anything beyond that,