MUMBAI: The Reserve Bank of India (RBI) has beefed up the 'Enabling Framework for Regulatory Sandbox' with more stringent timelines and compliance provisions.
In the updated framework put up on the RBI website, the timelines of the various stages of the Regulatory Sandbox process have been revised from seven months to nine months.
The updated framework also requires sandbox entities to ensure compliance with provisions of the Digital Personal Data Protection Act, 2023.
"The objective of the Regulatory Sandbox is to foster responsible innovation in financial services, promote efficiency and bring benefit to consumers," the RBI said.
The framework has been revised based on the experience gained over the last four and half years in running four cohorts and feedback received from Fintechs, banking partners and other stakeholders, the RBI added.
The 'Enabling Framework for Regulatory Sandbox' was first placed on RBI website on August 13, 2019, after wide ranging consultations with stakeholders.