Reserve Bank is mulling to adopt the "expected loss" approach for loan provisioning. At present, the banks follow the "incurred loss" approach, where money is set aside after an asset turns sour. RBI will be releasing another discussion paper on a revised framework for securitisation of stressed assets
India's stricter digital lending rules have disrupted card services of foreign-backed fin-tech firms India's digital lending market has grown quickly and facilitated $2.2 billion in digital loans in 2021-22. RBI has said fin-tech firms should recover charges of facilitating a digital loan from their banking partners, not the borrowers. Fin-tech firms are worried, and fear more regulations are on the way.