National financial information registry

Subject : Economy

Concept :

National Financial Information Registry is aimed at expediting loan sanctions and credit flows by offering lenders a ‘360 degree’ perspective on potential borrowers, Reserve Bank of India (RBI) Governor Shaktikanta Das said.

National Financial Information Registry

Finance Minister Nirmala Sithraman in her Budget 2023 speech announced that the government will set up a National Financial Information Registry to serve as a central repository of financial and ancillary information.
This will facilitate efficient flow of credit and lending, promote financial inclusion, and foster financial stability.
Lot of information is required by a bank, before a loan is sanctioned.
The idea is to create one registry where, it can provide a 360 degree kind of information system which will be readily available to the lending institutions to ensure that it quickens the process of credit flow.
The RBI has already prepared the draft bill, which is currently being deliberated upon in a post-budget interaction.
The objective is to build a public infrastructure for credit-related information and right information can be made available by the NFIR to lending agencies.