Agenda – 13th Securitisation Summit | May 23, 2025
Summit home page can be viewed here: https://vinodkothari.com/secsummit/
Author Archive for: finserv
Entries by Team Finserv
A Regulation on Regulations – Rule of law checks by the Reserve Bank of India
– Aditya Iyer, Manager (Legal) | (finserv@vinodkothari.com) Background In Rajeev Suri v. Delhi Development Authority, the Supreme Court of India[1] noted that the ‘Rule of Law’ (RoL) posits four universal tenets, of which two are: (i) The laws must be just, clear, publicized, and stable; (ii) Open Government – the process by which laws are […]
Digital Lending Directions, 2025
Largely a consolidation; New rules on multi-lender platforms and lending apps – Aditya Iyer, Manager (Legal), Tejasvi Thakkar, Assistant Manager | (finserv@vinodkothari.com) Background On May 08 2025, the RBI notified the Digital Lending Directions, 2025 (‘Directions’). At the outset, it is worth noting that the Directions are not a regulatory overhaul of any kind; they […]
Co-Lending and loan sourcing:Draft RBI (Co-Lending Arrangements) Directions,2025
– finserv@vinodkothari.com Other Resources on the topic:
Natural use of artificial intelligence – Regulatory review on use of AI in lending transactions
– Aditya Iyer | Manager – Legal – finserv@vinodkothari.com I. Introduction Lenders appear to be increasingly leveraging Artificial Intelligence (‘AI’) to optimize their lending functions (e.g., to reduce the turnaround time, reduce the margin of error, for automating certain tasks, etc.). ‘AI’ here is being used to denote “a machine-based system that, for explicit or implicit […]
Co-lending and loan sourcing: Draft Directions seek to end Discretionary Co-lending
– Team Finserv | finserv@vinodkothari.com Introduction RBI vide its Statement on Developmental and Regulatory Policies dated April 09, 2025, stated that in light of evolution of co-lending arrangements and lending practices, it was decided to expand the scope of co-lending and issue a generic framework for all forms of co-lending arrangements between Regulated Entities (‘RE’). […]
Bank-NBFC Partnerships for Priority Sector Lending: Impact of New Directions
-Harshita Malik (finserv@vinodkothari.com) Background The Reserve Bank of India (RBI) has, after almost five years, updated its Priority Sector Lending (PSL) norms that prescribes the PSL limits for banks. PSL targets ensure an adequate flow of credit from the banking system to sectors of the economy that are crucial for their socio-economic contributions, with a […]
Karnataka Micro Loan, and Small Loan Ordinance, 2025
An attempt to regulate the unorganised microfinance market – Team Finserv – Aditya Iyer | Manager (finserv@vinodkothari.com) Background As has been evident from numerous reports, the microfinance sector in India is facing mounting pressure. Rising borrower distress and overindebtedness have led to criticism of microlenders for their aggressive loan sanctions without adequate checks on the […]
Preventing Financial Frauds: Regulatory and Institutional Safeguards for Voice Calls and SMS
Harshita Malik and Anshika Agarwal (finserv@vinodkothari.com)
Securitisation of MSME receivables in India
Vinod Kothari l finserv@vinodkothari.com There are considerable gaps in funding for SMEs: In India, the total addressable demand for external credit is estimated to be USD 173 billion[1] while the overall supply of finance from formal sources is estimated to be USD 441 trillion. The Expert Committee on Micro, Small and Medium Enterprises, constituted by […]