New Delhi, September 5 (IANS): Former BharatPe co-founder Ashneer Grover on Monday slammed the Reserve Bank of India’s (RBI) new digital lending guidelines, calling the standards the worst thing to happen in digital India.
Speaking to Twitter, Grover said new digital lending standards would discourage fintechs from lending.
“If UPI is the best technology/regulatory innovation in the world, the RBI’s digital lending guidelines must be the worst,” said Grover who together with his wife Madhuri Jain Grover formed a new company called Third Unicorn Private Ltd, and are preparing to launch a third startup.
He further tweeted: “Basically RBI telling Fintechs ‘Bhai mat karo digital lending shending! , we don’t understand it and it will also save pen and paper sale)’.
The recent RBI guidelines on digital lending aim to create a strong framework that protects the interests of customers.
The framework is based on the principle that lending activities can only be carried out by entities that are either regulated by the central bank or entities authorized to do so under any other law.
This has led fintech lenders to suspend their services in the country.
Last month, Uni suspended map services on its products in line with the recent RBI notification.
The startup said it is proactively suspending the Uni Pay 1/3rd Card and Uni Pay 1/2 Card services, which will impact millions of users.