Introduction of Government-Backed Platform to Facilitate Seamless Credit Sharing

The Central Board of Indirect Taxes and Customs (CBIC) has issued Notification No. 06/2024 –Central Tax dated February 22, 2024, introducing the “Public Tech Platform for Frictionless Credit.” This platform, endorsed by the Reserve Bank of India and developed by its subsidiary, the Reserve Bank Innovation Hub, is designed to streamline the sharing of credit-related information through a unified portal with consent. Its primary objective is to cultivate a robust credit ecosystem by providing digital accessibility to data from diverse sources for both financial service providers and data service providers. This is made possible through the implementation of an open, enterprise-grade IT platform equipped with a standardized, protocol-driven, open, and shared API framework.

In accordance with the authority vested by section 158A of the Central Goods and Services Tax Act, 2017 (12 of 2017), and section 20 of the Integrated Goods and Services Tax Act, 2017 (13 of 2017), the Central Government, upon the recommendations of the Council, formally designates the “Public Tech Platform for Frictionless Credit” as the designated system for information sharing via the common portal, contingent upon consent as outlined in sub-section (2) of Section 158A of the Central Goods and Services Tax Act, 2017 (12 of 2017).

For clarification purposes, the term “Public Tech Platform for Frictionless Credit” refers to an enterprise-grade open architecture IT platform conceived by the Reserve Bank of India, as articulated in its “Statement on Developmental and Regulatory Policies” dated August 10, 2023, and brought to fruition by its wholly-owned subsidiary, the Reserve Bank Innovation Hub. Its operational scope encompasses a broad credit ecosystem, facilitating digital access to information from diverse data sources. This platform serves as a convergence point for financial service providers and multiple data service providers, employing a standardized, protocol-driven architecture alongside an open and shared Application Programming Interface (API) framework.