Reserve Bank Innovation Hub | 25 Mar 2022

Why in News?

Recently, the Reserve Bank of India (RBI) governor inaugurated the Reserve Bank Innovation Hub (RBIH) in Bengaluru.

What is the RBIH?

  • About:
    • It has been set up as a Section 8 company under the Companies Act, 2013 with an initial capital contribution of Rs. 100 crore.
    • It is is a wholly owned subsidiary of the RBI.
  • Objective:
    • RBIH aims to create an ecosystem that focuses on promoting access to financial services and products for the low-income population in the country.
      • This is in line with the objective behind establishment of RBIH i.e., to bring world-class innovation to the financial sector in India, coupled with the underlying theme of financial inclusion.
    • The Hub is expected to build an ecosystem for development of prototypes, patents and proofs of concept and promote cross-thinking, spanning regulatory domains and national boundaries.
    • It had plans to identify and mentor start-ups having maximum potential.
    • It is also expected to collaborate with various government Ministries, Departments and academia to identify problem statements in different domains and explore potential solutions.
    • RBI Innovation hub hosted Swanari TechSprint to create sustainable solutions for women-owned enterprises.
      • TechSprint is aimed at advancing digital financial inclusion for women in India.

What are the other Initiatives for Financial Inclusion?

Source: TH