What is the Reserve Bank Innovation Hub (RBIH)?

The Reserve Bank of India Innovation Hub (RBIH) was established to drive innovation and enhance financial sector development by leveraging technology. Founded in 2020, the RBIH aims to promote a conducive environment for financial technology (fintech) and foster the development of financial services and products.

Objectives and Scope of the RBIH

Primarily, the RBIH seeks to improve access to financial services, thereby promoting financial inclusion across India. Through collaboration with various stakeholder groups, including financial institutions, technology companies, and academic institutions, the Hub aims to develop innovative prototypes and promote fintech research.

Leadership and Governance

The governance of the RBIH is overseen by a Governing Council (GC), chaired by Shri Senapathy Kris Gopalakrishnan, a prominent figure in the technology industry. The GC is comprised of distinguished members who bring diverse expertise to the table. Current members include:

Chief Information Officer – To be appointed Prof. Ashok Jhunjhunwala, Institute Professor at IIT Madras Prof. H. Krishnamurthy, former Chief Research Scientist at the Indian Institute of Science, Bengaluru Shri Gopal Srinivasan, CMD of TVS Capital Funds Shri A.P. Hota, former CEO of National Payments Corporation of India (NPCI) Shri Mrutyunjay Mahapatra, former MD CEO of Syndicate Bank Shri T. Rabi Sankar, Deputy Governor of RBI (ex-officio) Shri Deepak Kumar, CGM of the Department of Information Technology at RBI (ex-officio) Smt. K. Nikhila, Director of the Institute for Development Research in Banking Technology, Hyderabad (ex-officio)

Function and Activities of the RBIH

The primary function of the RBIH is to create an ecosystem that fosters innovation in financial services. This involves promoting the exchange of ideas, development of prototypes, and facilitation of engagement with innovators and start-ups. Key activities include:

Collaboration: The RBIH collaborates with financial sector institutions, technology companies, and academic institutions to promote the development of innovative financial products and services. Infrastructure Development: The Hub develops internal infrastructure to promote fintech research and development, enabling quicker and more efficient experimentation with new technologies. Financial Inclusion: By focusing on financial innovation, the RBIH aims to enhance access to financial services for underserved populations, contributing to the broader goal of financial inclusion. Exposure and Networking: Through its various initiatives, the RBIH facilitates networking and exposure for innovators, start-ups, and financial sector entities, encouraging cross-pollination of ideas and collaboration.

Conclusion

The Reserve Bank Innovation Hub plays a crucial role in driving innovation within the financial sector, leveraging technology to promote financial inclusion and create a more accessible and equitable financial ecosystem. As the Hub continues to evolve, its impact on the financial industry and the broader economy will undoubtedly be significant.

Stay tuned for updates on the latest developments in the Reserve Bank Innovation Hub.