No credit to corporates without identification number: RBI

Schedule for getting the legal entity identifier (LEI) number spread out till Dec 2019

The Reserve Bank of India (RBI) on Thursday said corporate borrowers who do not obtain the legal entity identifier (LEI) number from banks won’t be given credit.

However, the schedule for getting the LEI number is spread out till December 2019 and depends on the exposure. The 20-digit unique code will be used to maintain a credit database with the RBI’s Central Repository of Information on Large Credits to facilitate assessment of aggregate borrowing by corporate groups, and monitoring of the financial profile of an entity or group. The central bank had announced introducing the LEI number in a phased manner