Banks look to form their own self-regulatory body for fintechs

Banks plan to form a Section 8 entity under the Companies Act to secure an SRO license for the fintech sector. Talks have included the Payment Council of India. RBI's final guidelines require banks' involvement due to interconnected financial services. Neo banks and metaverse banking necessitate updates on fintech. The Indian Banks' Association (IBA) leads this initiative. Discussions with the Payment Corporation of India, covering over 90% of the industry, are ongoing. Lenders already collaborate with fintechs on online lending, AI credit assessment, and digital payment solutions.