RBI Fintech SRO: RBI releases finalised framework for Indian fintech sector’s self-regulatory body
The self-regulatory organisation (SRO) would be industry-led, and will be responsible for establishing and enforcing regulatory standards, promoting ethical conduct, ensuring market integrity, resolving disputes, and fostering transparency and accountability among its members.
RBI has asked this SRO to be one built on a ‘representative’ structure which would enable it to draw upon the collective expertise and experience of its members, resulting in development of standards that are pragmatic, adaptive, and widely accepted within the fintech community.
SROs have been asked to motivate its members to align with regulatory priorities and facilititate communication with the regulator, i.e., RBI.
No entity should hold up to 10 per cent or more of its paid-up share capital. This SRO could have fintechs domiciled outside India as its member, RBI said.