RBI Enables Interoperability Among Account Aggregators for Seamless Financial Information Sharing
Key Highlights
- RBI enables interoperability among account aggregators
- Customers can now access and share financial information
- CAS will display mutual funds, stocks, and fixed deposits together
The Reserve Bank of India (RBI) has taken a significant step towards enhancing customer convenience by enabling interoperability among account aggregators (AAs). This move will allow customers to share their financial information more easily with different financial institutions. This includes banks, NPS fund managers, insurance companies, and mutual funds.
"With an objective to enhance customer convenience, it has been decided to implement interoperability among NBFC-Account Aggregators (NBFC-AA)," RBI said during the bi-monthly policy announcement by the governor. "This will enable customers to access and share their financial information, across different Financial Information Providers, through any NBFC-AA of their choice."
The central bank has also enabled depositories regulated by the Securities and Exchange Board of India (Sebi) to include information on bank deposit accounts in their Consolidated Account Statement (CAS) through NBFC-AAs. As a result, individuals will be able to view their mutual funds, stocks, and fixed deposits (FDs) together in one place, making it easier to manage their financial information.
According to Adhil Shetty, CEO, BankBazaar, a Consolidated Account Statement gives investors a single view of their securities holdings. Depositories such as NSDL and CDSL send CAS to investors who have demat accounts, covering holdings associated with their PAN.
Vivek Iyer, Partner and Financial Services Risk Advisory Leader, Grant Thornton Bharat, noted that the RBI's move is an important step towards deepening India's open finance ecosystem. "Interoperability among Account Aggregators should help reduce customer friction and complaints, prevent platform lock-ins, and improve data portability, allowing customers to access and share financial information through the Account Aggregator of their choice," he said.
Key Highlights
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I write about the forces shaping business and the global economy, from startup growth and changing markets to international trade and policy. My work focuses on breaking down complex developments into clear, practical insights and understanding what they could mean for businesses, investors, and the wider economy.
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