Five MSME lending products complete test phase under RBI's sandbox cohort

Five MSME lending products have completed the test phase under the Reserve Bank of India (RBI) regulatory sandbox cohort, RBI said in a release on Friday.

Products of the entities that completed the test phase were evaluated based on mutually agreed test scenarios and expected outcomes, the release said.

The entities whose products have completed the test phase are FinAGG Technologies Private Limited, Mynd Solutions Private Limited, Rupifi Technology Solutions Private Limited, Small Industries Development Bank of India, and SysArc Infomatix Private Limited.

Additionally, RBI has announced the fifth cohort under the regulatory cohort scheme. A regulatory sandbox refers to live testing of new products or services in a controlled regulatory environment. It acts as a "safe space" for business, as the regulators may or may not permit certain relaxations for the limited purpose of testing.

Innovative products, services, or technologies cutting across various functions in RBI's regulatory domain would be eligible to apply, another release by the central bank said.

The application for the cohort can be submitted from 30 October to 30 November.